- US-Iran uncertainty and weaker risk appetite pressure LME metals
- Canada extends 50% metal tariffs amid trade diversion concerns
Base metals prices on the London Metal Exchange (LME) traded mostly lower on 4 Jun’26 amid cautious market sentiment. Aluminium recorded the steepest decline, falling 1.01% d-o-d to $3,666/t, followed by nickel, which slipped 0.96% to $18,689/t. Zinc and lead also declined by 0.62% and 0.32% to $3,588/t and $2,017/t, respectively. In contrast, copper was the only gainer, rising 0.77% to $13,932/t.
On the inventory side, zinc stocks registered the sharpest decline of 0.68% d-o-d to 112,525 t, followed by copper inventories, which declined 0.44% to 382,550 t. Nickel and lead inventories also edged lower by 0.40% and 0.09% to 274,236 t and 313,675 t, respectively, while aluminium stocks remained unchanged at 335,450 t, indicating continued drawdowns across LME warehouses.
Domestic market overview
India’s non-ferrous scrap market displayed stable trends d-o-d. Aluminium tense scrap (loose), ex-Delhi, remained unchanged at INR 304,000/t, while ex-Chennai prices also remained steady at INR 307,000/t, indicating balanced regional market conditions.
Meanwhile, copper armature scrap (Cu 99%), ex-Delhi, declined by INR 4,000/t or 0.3% d-o-d to INR 1,276,000/t from INR 1,280,000/t, reflecting slightly softer copper market sentiment and cautious spot buying activity.
Other updates
Canada to extend steel and aluminium tariff measures for another year
Canada will extend its tariff-rate quotas and tariff relief measures on selected US steel and aluminium imports for an additional year to protect domestic producers from global overcapacity and trade diversion risks. The extensions will remain in place until Jun’27, subject to cabinet approval.
Imports exceeding quota limits will continue attracting a 50% tariff, while the measures are expected to provide longer-term certainty to Canada’s steel and aluminium industries amid ongoing trade tensions and elevated global metal market volatility.
Oil prices remain steady amid uncertainty over US-Iran peace negotiations
Global oil prices traded largely stable on 5 Jun’26 as uncertainty surrounding ongoing US-Iran peace negotiations kept market sentiment cautious. Brent crude hovered near $93/bbl, while US WTI crude remained around $93/bbl following sharp declines in the previous session.
Market participants continued monitoring developments related to Middle East tensions, Hezbollah’s rejection of a Lebanon ceasefire proposal, and potential disruptions to Strait of Hormuz shipping routes. Concerns over tightening global oil inventories and limited Gulf trade flows continued supporting broader energy market fundamentals.
Indonesia plans mineral exchange to strengthen domestic price discovery
Indonesia plans to establish a domestic mineral exchange to strengthen price discovery for key mineral commodities and reduce reliance on overseas trading platforms. Finance Minister Purbaya Yudhi Sadewa stated that the proposed exchange will operate under the supervision of the Financial Services Authority (OJK) following revisions to the country’s financial sector legislation.
The exchange is expected to provide a domestic marketplace for minerals currently traded through exchanges in Singapore and other overseas markets. The move forms part of Indonesia’s broader strategy to strengthen oversight across strategic commodity supply chains and capture greater value from its vast nickel, tin, bauxite and mineral resources through downstream integration and tighter market regulation.
Leave a Reply