LIVE FUTURES REPORT 14/05: LME base metals broadly lower; nickel up 2.2%

Base metals on the London Metal Exchange edged mostly lower during morning trading on Monday May 14, with nickel and lead the only metals to record gains across the complex.

Dipping below $2,300 per tonne on May 10, since then aluminium’s three-month price has been consolidating around $2,200-2,300 per tonne. The light metal’s price sentiment remains well supported in the midst of sanctions and tariffs, yet a relaxed US stance on Rusal, as well as an extension of Section 232’s implementation to June 1, has contributed to the metal’s dwindling momentum. However, volatility remains an ongoing feature of aluminium’s price activity, with its cash/three-month spread currently in a contango of $8 per tonne, moving from a backwardation of $20 per tonne last week. Recording the highest gains throughout the morning, nickel’s three-month price climbed 2.2% to move firmly above the $14,000-per-tonne support level. The metal’s bullish fundamental backdrop has supported a broad consolidation in recent weeks,...


Hassan Butt

May 14, 2018

11:25 GMT