LIVE FUTURES REPORT 18/06: LME base metals up on rate-cut anticipation; Sn up 1% despite inflows

Base metals traded on the London Metal Exchange had all closed up by the afternoon kerb on June 18 after the potential US Federal Reserve interest rate cuts inspired a bullish sentiment.

The optimism for the complex may be short lived however, because market consensus has already deemed this flurry of activity as a short-covering exercise before the US Fed and Federal Open Markets Committee (FOMC) make announcements on Wednesday June 19. “Metals prices are reacting positively today, as if the US-China trade deal has been agreed but this is merely a short-term frenzy based on rate-cut expectations. Beware - this is another bull trap,” Fastmarkets...

Published

Amy Hinton

June 18, 2019

18:00 GMT

London