US stocks pushed higher as markets await the Q2 earnings results this week. The 10yr US Treasury yield gained ground; this week the focus is shifted to new supply coming to the market. The dollar strengthened. Elsewhere, Asian stocks edged higher after China’s CB announced boosting liquidity by cutting the amount of cash reserves banks are allowed to hold. Meanwhile, ECB President Lagarde told investors to prepare for the new monetary stimulus guidance in more than a week and signalled that fresh measures might be brought back next year to support the economic recovery. From the vaccine front, Pfizer says it plans to discuss the request for federal authorisation of the third dose of its COVID-19 vaccine, to encourage the uptake of booster jabs.
LME prices closed down yesterday except for lead and tin. Nickel gave back recent gains, taking out support at $18,700/t to close at $18,679/t. Protracted selling pressure prompted copper to break through $9,450/t and closed at $9,409/t. Aluminium was well bid below $2,500/t and closed at $2,489.50/t. Lead was well supported at $2,310/t and closed marginally higher at $2,332.50/t; cash to 3-month spread widened out to -$1.00/t.
Oil futures extended the decline amid an OPEC+ decline over the supply outlook. WTI and Brent softened into $74.15/bl and $75.19/bl. Precious metals were mixed; gold edged lower down to $1,806.10/oz and silver was higher at $26.18/oz.
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All price data is from 12.07.2021 as of 17:30
