US stocks began the week with the sentiment being carried over from last week, as the Russian government continues to move its forces through Ukraine. As a response to the sanctions from all over the world, the Russian government has introduced a similar wave of sanctions, including the ban on the country's airspace for European flights and the ban on currency payments being sent out of the country by Russian citizens. The dollar and the 10yr US Treasury yield both were marginally lower. The ruble continues to break record lows, despite the earlier-introduced measures. From the economic standpoint, US consumer spending topped forecasts in January, despite persistently high consumer price inflation.
Metals on the LME continued to climb marginally higher as sanctions hit the metal sector and, in turn, trade from Russia over the weekend. The impact is already being felt as Russian biggest steelmakers see a drop in exports, but volumes in nickel seem to be only marginally impacted as of now. Nickel opened on the front foot, topping $25,000/t but softened during the day once again, falling back to close $24,282/t. Likewise for copper and aluminium, the metals are seen declining during the day to close at $9,883.50/t and $3,368.50/t, respectively, but not enough to offset gains made day-on-day. Lead and zinc were seen marginally higher, closing at $2,387/t and $3,666/t, respectively
Oil offset some of today’s gains after the news that the US and others are considering releasing around 60m barrels of crude from their emergency stockpiles to help calm the prices. WTI and Brent were still significantly higher day-on-day, jumping to $95.42/bl and $100.45/bl. European gas prices softened today, and Gazprom is said to secure the largest-ever gas deal with China. Precious metals were mixed.
For more in-depth analysis of base and precious metals, please see our Quarterly Metals report.
All price data is from 28.02.2022 as of 17:30