LIVE FUTURES REPORT 24/09: LME zinc price firm, nickel prices suffer; new US-Sino tariffs dent sentiment

The prices of base metals on the London Metal Exchange were predominantly lower at the close of trading on Monday September 24, broadly capped by weakening investor sentiment amid another round of US-imposed tariffs on approximately $200 billion worth of Chinese goods.

Yet bearish sentiment across the market – largely due to macroeconomic pressure – has been incongruous with the continuing trend of LME inventory drawdowns, exemplified by a raft of fresh cancelations that have exceeded 300,000 tonnes in copper and aluminium since late August.  That said, in line with approximately 13,200 tonnes of zinc booked for removal across LME-listed warehouses this morning, the three-month zinc price has climbed 2.6% over the afternoon. Last week, short-covering across the market and a slight easing of trade tension rhetoric contributed to a 4.6% rise in copper on Friday, pushing prices above $6,000 per tonne while...


Hassan Butt

September 24, 2018

17:50 GMT