US stocks fluctuated today on the back of mixed economic data. The Fed policy decision is due later today. Congress seemed to wrap up the $700bn bill, attempting to pass by the end of this week. US retail sales fell by 1.1% m/m, below estimates, highlighting the need for an additional boost to stimulate sales. The dollar softened and the 10yr US Treasuries yield edged up to 0.9229%. Elsewhere, the EU stated that the fishing rights remain the last major hurdle in Brexit negotiations. The pound strengthened.
Activity on the LME was mixed today, with only nickel and lead closing marginally lower. Copper was well bid today, but failed above $7,875/t and closed at $7,836/t. Aluminium was slightly firmer in the first half of the day but closed near the day’s lows at $2,035/t. Zinc and tin prices were stronger on the day, closing on the front foot at $2,832/t and $19,925/t respectively. Nickel tested the support level at $17,300/t but closed higher at $17,411/t; cash to 3-month spread widened out to -$57.25/t. Iron ore prices were higher on the day, closing at CNY1,000/mt.
Oil futures jumped to the highest levels since February on the back of stimulus optimism. At the time of writing, WTI and Brent trade at $47.71/bl and $50.96/bl. Precious metals were mixed, with gold and silver edging higher to $1,853.56/oz and $24.94/oz respectively.