MORNING VIEW: Broader markets generally buoyant on positive Covid-19 vaccine data, metals prices consolidate

Base metals prices are consolidating this morning, Tuesday February 19, following strong performances on Monday, when markets in general reacted to reports that a Covid-19 virus vaccine showed some encouraging results in an early-stage trial.

The base metals on the London Metal Exchange are little changed this morning while they consolidate after Monday’s strong gains that saw prices close up by an average of 3%. The most-traded base metals contracts on the Shanghai Futures Exchange are, however, up across the board, showing gains averaging 1.5% this morning. Asian-Pacific equity indices are showing strong gains, which follows Monday’s 3.85% gain in the Dow Jones Industrial Average. Pre-market major western equity indices are seeing some follow-through strength, with gains either side of 0.2%. Gold prices at $1,736 per oz have pulled back from Monday’s $1,765-per-oz high. Base metals Three-month base metals prices on the LME have been rangebound so far this morning, but a volume of 6,264 lots is already above average for this time of day, suggesting good two-way interest. Copper was recently quoted at $5,344 per tonne, having earlier been up to...


William Adams

May 19, 2020

08:04 GMT