Domestic base metals prices saw diverse trends this week. Zinc fell by 5.9% w-o-w whereas all other base metals rose by up to 0.7%.
All non-ferrous metals prices on the London Metal Exchange (LME) edged up w-o-w. However, zinc prices fell by 2% w-o-w. In fact, other metals’ prices rose by up to 6%.
The dollar index, which gauges the value of the dollar in a basket of six different currencies, hovered at around 104.33, down slightly by 0.30 against last week.
Japan CPI data
Japan’s core consumer price index (CPI), which includes energy costs, rose 3.7% in November from a year earlier, matching market forecasts and perking up from a 3.6% gain in October.
Indonesia to ban bauxite exports
Indonesia has recently announced a bauxite export ban, which will be implemented towards the middle of next year. Bauxite is a key element in aluminium production, making this a protectionist move, to boost domestic production of metal ores and industry. Previously, the country had also banned nickel exports, since around January 2020, for the same reason.
Price picture
- Aluminium prices fluctuate
Domestic aluminium tense scrap prices rose slightly by 0.7% w-o-w at INR 149,000/t exy-Delhi.
Meanwhile, imported prices of the same were assessed at $1,740/t, up $20/t CFR Nhava Sheva w-o-w, and US-origin aluminium talk prices were at $4,275/t, a decrease of $65/t w-o-w, CFR Nhava Sheva.
Imported aluminium scrap prices into India witnessed fluctuations in the past week in tandem with the constant volatility in exchange futures along with divergent offers from trade participants. There were substantial gaps between most bids and offers, at times as much as $50-60/tonne (t) in specific grades ahead of the approaching Christmas and New Year holidays.
- Copper prices trend up
Domestic copper armature scrap prices rose slightly by 0.6% to INR 635,000/t ($7,687/t) w-o-w exy-Delhi.
Prices of secondary wire rose slightly by 0.5% to INR 683,000/t w-o-w ($8,268/t), while primary wire rods prices edged down by 0.9% to INR 738,000/t ($8,934/t) exw-Delhi yesterday.
LME-registered warehouse stock fell by 2,625 t w-o-w.
Meanwhile, copper prices were still on the higher side after being volatile this week which pushed up local prices marginally. However, buyers adopted a wait-and-watch mode for more clarity in exchange prices. Moreover, a rise in Covid cases have made market participants cautious.
- Lead up marginally, zinc falls slightly
Domestic special high-grade (SHG) zinc ingots prices fell 5.9% on slow demand in the domestic market amid negative futures which fell to INR 278,000/t ($3,365/t) exw-Delhi. In addition, domestic re-melted lead ingots and refined lead ingots prices rose slightly w-o-w.
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