1. Reports
  2. Daily Base Metals Report
Non-independent Research

Daily Base Metals Report

Read disclaimer

US equity markets started the week on the front foot as small-cap stocks were well bid and confidence returned to the market, following some jitters last week due to the rally in yields. The House of Representatives passed a $1.9trn, however, there are question marks over if the plan will reduce the slack in the labour market. The Fed later this week is clearly a key event for markets, as investors look for any indication of a change in policy direction. The ECB has started to slow the pace of their pandemic bond-buying to 12bn euros, down from 17.2bn the previous week. The dollar index has edged higher today, with cable failing into resistance at 1.40. 

Sentiment on the LME was mixed today, tin prices are down 8% after failing above $25,000/t and closed at $23,460/t, the cash to 3-month spread stands at $279/t. Aluminium prices were also weaker today, after failing above $2,185/t and closing at $2,154.50/t. Copper failed to gain a footing above $9,200/t and closed at $9,044/t but the cash to 3-month spread remains backwardated at $45/t. Zinc and lead prices are were firmer today, closing at $2,804.50/t and $2,071/t, respectively. Nickel prices were also stronger after finding support at $18,500/t and closed at $18,682/t.

Energy markets gave back this morning's gains amid a stronger dollar and also the prospect of OPEC+ increasing supply in their meeting this week. Saudi continue to call for caution in the market. WTI and Brent prices trade at $61.42/bl and $64.61/t, respectively. Gold prices continued to struggle today, trading down to $1,728.90/oz at the time of writing and silver trades at $26.76/oz. 

*All price data is from 26.02.2021 as of 17:30

*All price data is from 01.03.2021 as of 17:30


This is a marketing communication. The information in this report is provided solely for informational purposes and should not be regarded as a recommendation to buy, sell or otherwise deal in any particular investment. Please be aware that, where any views have been expressed in this report, the author of this report may have had many, varied views over the past 12 months, including contrary views.

A large number of views are being generated at all times and these may change quickly. Any valuations or underlying assumptions made are solely based upon the author’s market knowledge and experience.

Please contact the author should you require a copy of any previous reports for comparative purposes. Furthermore, the information in this report has not been prepared in accordance with legal requirements designed to promote the independence of investment research. All information in this report is obtained from sources believed to be reliable and we make no representation as to its completeness or accuracy.

This report is not subject to any prohibition on dealing ahead of the dissemination of investment research. Accordingly, the information may have been acted upon by us for our own purposes and has not been procured for the exclusive benefit of customers. Sucden Financial believes that the information contained within this report is already in the public domain. Private customers should not invest in these products unless they are satisfied that the products are suitable for them and they have sought professional advice. Please read our full risk warnings and disclaimers.

Sign-up to get the latest Non-independent research

We will email you each time a new report has been published.

You might also be interested in...

Daily Report FX

A morning report covering fundamentals and technicals for USD, EUR, GBP, JPY, and CHF.

Daily Report Softs Technical Charts

Technical analysis and charts for the key sugar, cocoa and coffee contracts.

Weekly Report FX Options

Our FX Options Report contains commentary and analysis covering OTC currency option pricing, volatility and positioning. 

Quarterly Metals Report – Q3 2022

Our analysts provide an in-depth analysis of the metals market and current macroeconomic conditions. The environment has weakened significantly as growth fears rise amid persistent high inflation. Central banks are data-dependent, which could mean they slow rate hikes as growth starts to slow. This has meant a downside to the US 10yr yield, but also we see a downside to rate hikes in Q4. Europe will likely enter a recession before the US and take longer to recover, but material availability is significantly lower, shown by low inventories.

FX Monthly Report June 2022

Monthly commentary covering the FX markets, providing insights on recent developments on select currency pairs. This month we look into the JPY and the pressure the BOJ is under to change their monetary policy as JPY continues to weaken against major currencies. Economic data is weakening and inflation is less of a problem in Japan, but yields continue to test the cap.