Base metals (nickel, and copper) recovered up to 1.3% whereas zinc and aluminium futures on the London Metal Exchange (LME) remained range bound on 11 August as the US’s Consumer Pricing Index (CPI) eased slightly.
The recent CPI data showed that goods and services prices rose by 8.5% y-o-y in July but was 0.2% lower than predictions and down by 0.6% from 9.1% in the previous month.
However, the market rumours indicate that the fed rates may inch up further despite this slight recovery in US CPI as overall the indices should have settled down in the lower range.
Overall, most non-ferrous metals prices rebounded in the previous trading day with a few remaining range-bound.
Base metals market performance – 11 August
LME 3-month copper improved slightly by 0.16%, nickel moved up 1.31%, aluminium and zinc down by 0.16% and 0.96% respectively.
SHFE copper gained 0.85%, aluminium jumped 0.08%, lead fell 0.56%, zinc added 1.84%.
MCX August month aluminium futures rose 0.36%, copper up by 0.16%, lead up by 0.05%, and zinc down by 0.015% d-o-d.
Stock levels fluctuate
LME registered warehouse stocks of base metals fluctuated d-o-d with aluminium declining by 1.26% while nickel, copper, and zinc inventories increasing by up to 3.99%.
Oil prices volatile
Brent oil futures rose marginally 0.1% in early Asia trade to $99.38 a barrel and US crude oil WTI futures decreased 0.3% to $94.08 per barrel in the early morning session.
Currency exchange
The Indian rupee was at 79.7, slightly up by 0.11% from 79.61 d-o-d against the US dollar. The dollar index, which gauges the value of the dollar concerning a basket of six different currencies, hovered at around $105.21 at the time of reporting.
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