Base metals prices show positive trends

Base metals prices on all the major exchanges showed an upward trend on 11 November, 2022.

China revises COVID rules

China announced on 11 November an easing of strict COVID containment measures that have weighed on the metals markets in recent months, sending prices higher by nearly 6% in the last trading day.

China’s change in rules to prevent the spread of COVID-19 is set to further boost markets, but a few trader sources said that the number of cases is increasing and easing restrictions may raise fresh concerns, thereby affecting market sentiments.

LME declines call to ban Russian metal

The London Metal Exchange (LME) has backed away from introducing a ban on Russian metal  in a decision that will disappoint producers, traders and consumers who had argued that the flooding of Russian material into warehouses could disturb market dynamics.

Base metals market performance – 11 November

• LME’s three-months copper contract rose by 1.9%, nickel rose 3.8%, aluminium increased by 5.8%, zinc was up by 4.9%, while lead advanced 3%.
• SHFE copper added 0.12%, aluminium rose 1.28%, lead gained 1.03%, and zinc jumped 0.4%.

LME stock levels continue to decline

All base metals stocks at LME-registered warehouses decreased by up to 2.7% d-o-d in the last session.

Oil prices rise d-o-d

Brent oil futures rose 3% to $96.27 per barrel, while crude oil WTI futures were up 2.5% at $89 per barrel.

Dollar index

The dollar index, which gauges the value of the dollar in a basket of six different currencies, hovered at around 106.88,  up marginally by 0.56% against the last session.

The rupee was recorded at 81.14 against the US dollar, depreciating 0.47 against the last closing.