1. Reports
  2. Daily Base Metals Report

The US stock market was closed today due to Thanksgiving; markets are set to reopen tomorrow, but the flow is likely to stay lacklustre into the weekend. European stocks continued to strengthen today, boosted by the prospects of slower rate hikes. Indeed, the ECB officials favoured a smaller rate hike increase in October minutes despite further rises in inflation. Meanwhile, the Fed minutes pointed to a need for a more moderate pace of rate hikes whilst also keeping the peak at a higher level than originally expected. The gauge of the dollar fell further today, marking the third consecutive decline, which is likely to translate into softness in tomorrow’s trading.

Another day of mixed performance across the base metals market today, with a lack of appetite struggling to break out of the current ranges. In the meantime, China’s covid cases continue to grow, climbing to near-record levels despite tough lockdown restrictions in place in the country, which is set to keep the overall sentiment for the metals on the downside. Aluminium continued to edge lower, testing the support level at $2,370/t once again before settling at $2,367.50/t. Nickel tested the resistance level at $26,600/t today but failed above this level and edged below the previous settle to $26,293/t. Copper fluctuated around the $8,030/t level. Lead and zinc closed higher at $2,130/t and $2,918/t, respectively.

Oil futures remained unchanged after the EU considered a higher-than-expected price cap, with WTI and Brent remaining at $78/bl and $85/bl. Gold rose on the back of Fed minutes to $1,756/oz; silver remained unchanged at $21.50/oz.

All price data is from 24.11.2022 as of 17:30

Disclaimer

This is a marketing communication. The information in this report is provided solely for informational purposes and should not be regarded as a recommendation to buy, sell or otherwise deal in any particular investment. Please be aware that, where any views have been expressed in this report, the author of this report may have had many, varied views over the past 12 months, including contrary views.

A large number of views are being generated at all times and these may change quickly. Any valuations or underlying assumptions made are solely based upon the author’s market knowledge and experience.

Please contact the author should you require a copy of any previous reports for comparative purposes. Furthermore, the information in this report has not been prepared in accordance with legal requirements designed to promote the independence of investment research. All information in this report is obtained from sources believed to be reliable and we make no representation as to its completeness or accuracy.

This report is not subject to any prohibition on dealing ahead of the dissemination of investment research. Accordingly, the information may have been acted upon by us for our own purposes and has not been procured for the exclusive benefit of customers. Sucden Financial believes that the information contained within this report is already in the public domain. Private customers should not invest in these products unless they are satisfied that the products are suitable for them and they have sought professional advice. Please read our full risk warnings and disclaimers.

Sign-up to get the latest Non-independent research

We will email you each time a new report has been published.