US stocks were seen higher today, with Dow Jones edging close to an all-time high, on the last day of Trump’s presidential term. Treasury Secretary nominee Janet Yellen stated that she would not seek a weaker dollar to gain competitive advantage. The dollar was still down on the day, and the 10yr US Treasury yield strengthened up to 1.0988%. The euro was on the front foot, as of ZEW Survey Expectations index increased above market expectations, as investors grew more confident about economic recovery. On the virus front, Germany extended the lockdown restrictions into mid-February, a move to further suppress the spread of the virus.
Another day of mixed results on the LME market. Nickel prices edged higher today, breaking above $18,400/t before closing lower at $18,215/t; the cash to 3-month spread has widened out once again to -$50.00/t. Lead was well-bid above $2,000/t for the second half of the day and closed just off the day’s high at $2,015/t. Zinc was mostly range-bound and tested the resistance level at $2,690/t before closing at $2,686/t. Aluminium traded lower to the $1,950/t support level and closed on the front foot at $1,964/t. Copper was weaker today, closing at $7,954/t.
Oil futures edged higher on the back of stimulus hopes from the US; WTI and Brent are trading at $52.96/bl and $55.89/bl at the time of writing. Precious metals fluctuated ahead of the Yellen speech, with gold trading at $1,841.50/oz and silver at $25.26/oz.