US stocks continued to rise yesterday on positive risk-on sentiment. The US jobless claims fell by more-than-forecast in the week ending on March 20, yielding a fall to the year lows, highlighting a smooth recovery in the labour market as the number of vaccinations continues to grow. On the other hand, the number of COVID-19 cases rose by 89,000 on Wednesday, the most since mid-February. The dollar strengthened, and the 10yr US Treasury yield remained supported above 1.60%. The US personal income and spending data are out to be released today, with the latter forecast to fall by 0.8%.
Metals on the LME came under heavy selling pressure today, with copper the worst affected. Protracted selling pressure caused prices to find support at $8,700/t and close at $8,779.50/t. Tin was next in line as prices struggled above $25,210/t to close $25,200/t. Aluminium managed to find support at $2,230/t and closed at $2,246/t, with the cash to 3-month spread tightened in to -$25.75/t. Nickel was marginally lower on the day, but was supported above $15,950/t and closing at $16,152/t. Lead was stronger, closing at $1,920.50/t.
Oil futures erased the previous day’s gains by the continued blockage in the Suez Canal. WTI and Brent fell down to $58.01/bl and $61.60/bl. Precious metals were also seen lower, with gold and silver falling to $1,725.24/oz and $25.00/oz, respectively.
All price data is from 25.03.2021 as of 17:30
