US stocks declined yesterday on the back of mixed corporate earnings results. With the stocks near all-time highs, investors are paying attention to what is meant to be one of the best corporate earnings seasons in two years. J&J vaccine posted stronger-than-expected sales in the first quarter despite the vaccine distribution setback in the US, as it awaits the final health regulator ruling. The dollar found support at 90.86, and the 10yr Treasury yield softened back to 1.57%. Meanwhile, in the UK, the labour market weakened unexpectedly in March, with company payrolls falling for the first time since December; the jobless rate fell to 4.9%.
Activity on the LME was mostly negative yesterday, with only tin closing higher on the day. Zinc was subject to strong selling pressure, falling below the key support level of $2,820/t before closing lower at $2,814/t. Copper and aluminium prices were softer, closing at $9,322/t and at $2,309/t, respectively. Lead was supported at $2,022/t and closed at $2,030/t. Nickel was mainly range-bound in the first half of the day before selling off to test $16,000/t level; the metal closed at $16,038/t. Nickel cash to 3-month spread tightened up to -$45.00/t. Iron ore prices strengthened further to close at CNY1,085/mt.
Oil futures topped monthly highs before retreating with broader market decline. WTI and Brent traded down to $62.5/bl, and $66.51/bl. Precious metals were marginally higher, with gold and silver trading up to $1,774.56/oz and $25.86/oz, respectively.
All price data is from 20.04.2021 as of 17:30