Global stocks experienced another positive day yesterday, with US equity-index futures rallying in response to an impact that Friday’s sluggish job hiring data might have on Fed tapering decision. The dollar rose for the first time in six sessions. Elsewhere, German factory orders rose by 3.4% unexpectedly in July, driven by an increase in export demand.
Metals on the LME were mixed yesterday. Aluminium hit a $2,780/t level, a decade high, on the back of political unrest in Guinea fuelling concerns of bauxite supply, closing just below the highs at $2,773/t; cash to 3-month spread widened out to -$15.75/t. Copper and zinc both fluctuated but closed higher on the day at $9,450.50/t and $3,007.50, respectively. Lead sold off in the first half of the day, reaching the support level near $2,270/t, closing higher at $2,275/t. Nickel was also softer, closing at $19,654/t. SGX iron ore futures sank as another round of environmental curbs from China worsened the outlook for the metal, closing lower on the day at CNY846/mt.
Oil futures declined after Saudi Arabia cut crude prices for Asian buyers. WTI and Brent softened into $68.85/bl and $72.14/bl. Gold retreated from a July high, as the dollar rebounded, down to $1,823.30/oz; silver was marginally lower at $24.67/oz.
For more in-depth analysis of base and precious metals, please see our Quarterly Metals report.
All price data is from 06.09.2021 as of 17:30