LIVE FUTURES REPORT 24/01: LME lead price tops gains while zinc follows higher; tin nears $21k/t

Lead outperformed the other base metals on the London Metal Exchange on Thursday January 24, closing 2.2% higher, while both zinc and tin also gained amid continued falls in LME stocks.

For lead, on-warrant metal remains at its lowest since 2009 at just above 41,000 tonnes. And in tin, persistent outflows and fresh cancelations are propelling the price higher; the exchange’s total tin inventory is now below 1,000 tonnes for the first time in 30 years Continued delays to Indonesian exports - tin’s second-largest global exporter after China - continue to tighten across both physical and futures markets, with tightness in the metal’s forward curve a contributing factor. The cash/three-month spread was recently in a backwardation of $195 per tonne, its widest since April 2018. In aluminium, more than 180,000 tonnes of aluminium were freshly canceled this week, prompting delays at the LME’s warrant depository. Although three-month aluminium fell this afternoon, the initial stock move caused the price to push above $1,900 per tonne for the first time in 2019. As well, more than 34,000 tonnes of zinc were booked for removal...


Hassan Butt

January 24, 2019

18:06 GMT