US stocks fluctuated, as the markets found strength in the latter half of the day, following encouraging economic data. US initial jobless claims fell to the lowest level of 199,000 in more than 50 years, given a larger-than-expected drop week-on-week; the next reading will be key to understanding whether this figure is sustainable over the longer term. US personal spending rose by 1.3% m/m in October, and the PCE measure grew by 5% y/y in the same period. Meanwhile, orders for capital goods rose by more than forecast in October. Both indices point to continued strong demand for goods, despite continued mounting price pressures. The dollar continued to climb piercing resistance of 96.50, whilst the yield curve flattened as short-term maturities continued to strengthen.
Metal prices were mostly stronger today on positive economic data coming from the US. Nickel, in particular, tested one-month highs of $21,240/t before closing lower at $20,846/t. Tin jumped above $40,000/t after the Indonesian president alluded to the prospects of an export ban to attract investment into the industry; however, the lack of appetite above this level caused the metal to close at $39,960/t. Aluminium edged higher, testing the resistance of $2,710/t once again, closing just below this level at $2,704/t. Zinc and lead were mostly range-bound, closing at $3,322/t and $2,263.50/t, respectively.
Oil futures steadied following yesterday’s news of higher access to supply through reserves, with WTI and Brent trading at $78.28/bl and $82.17/bl. Gold and silver were also softer, at $1,788.94/oz and $23.51/oz, respectively.
For more in-depth analysis of base and precious metals, please see our Quarterly Metals report.
All price data is from 24.11.2021 as of 17:30