US stocks fluctuated yesterday as a growing number of cases softened investor confidence. ADP data showed that American companies added more jobs than expected in May, highlighting further progress in the nation’s labour market recovery, with the biggest gain coming from leisure and hospitality. Pending home sales in the US rose unexpectedly in May, as low borrowing costs support consumer demand. The dollar rallied and the 10yr US Treasury yield softened to 1.4393%. Meanwhile, Eurozone inflation cooled in June, up by 1.9% y/y, easing some of the inflationary concerns. China’s manufacturing output continued to expand in June, with price pressures seem to be easing, as the government clamped down on rising material costs.
Activity on the LME was mixed today, with copper and lead closing higher. Aluminium lost ground in the second half of the day, testing the support level at $2,495/t and closing at $2,523.50/t. Nickel was slightly softer and managed to break below the $18,250/t level to close at $18,214/t. Zinc edged lower on the day and closed at $2,974.50/t; cash to 3-month spread widened out to -$7.75/t. Copper and lead prices were marginally stronger, closing on the front foot at $9,374.50/t and $2,274/t, respectively.
Oil futures pared some gains ahead of the OPEC+ meeting today, with WTI and Brent edging up to $73.61/bl and $75.16/bl. Precious metals were mostly higher; gold and silver traded at $1,767.80/oz and $26.01/oz respectively.
All price data is from 30.06.2021 as of 17:30