- LME zinc prices rise amid drop in inventories
- BHP forecasts strong copper demand growth ahead
Base metals prices on the London Metal Exchange (LME) saw positive trends d-o-d, with zinc increasing by 0.67% to $2,787/tonne (t). Meanwhile, inventories at LME-registered warehouses registered saw mixed movements d-o-d, with zinc recording the highest decline of 1.32%.
Domestic market overview
In India’s non-ferrous metals markets, BigMint assessed domestic copper armature scrap at INR 790,000/t ex-Delhi, down by INR 4,000/t d-o-d. Aluminium Tense scrap prices remained flat d-o-d, with ex-Delhi at INR 197,000/t and ex-Chennai at INR 200,000/t.
Other market updates:
Indian companies face sharpest earnings downgrades in Asia amid U.S. tariffs
Indian firms have seen the steepest earnings downgrades in Asia, with analysts slashing forecasts by 1.2% over two weeks. Elevated U.S. tariffs, weak earnings, and slowing growth have triggered valuation concerns. Despite domestic tax reform efforts, sectors like autos, consumer goods, and capital goods face downward revisions, affecting India’s market outlook and investor sentiment.
Japan’s factory activity shrinks for second month in August
Japan’s manufacturing sector contracted for a second consecutive month in August, with the PMI rising slightly to 49.9 but staying below the 50 threshold. Weakened foreign demand, driven by U.S. tariffs, led to the fastest drop in export orders in 17 months. While output recovered modestly, new orders declined and profit margins remained under pressure.
Trump slams court’s pause on Arizona copper mine project
U.S. President Trump criticized a court ruling halting the Resolution Copper mine in Arizona, calling opponents “anti-American.” The project, led by Rio Tinto and BHP, faces delays due to environmental and tribal objections. Trump argued the mine is crucial for jobs and copper supply, as demand surges globally amid the energy transition and supply chain shifts.
BHP sees $2B edge as copper outlook strengthens
BHP remains bullish on copper, projecting global demand to jump from 32 mnt in 2025 to 50 mnt by 2050, driven by decarbonisation and urbanisation. FY26 copper production is forecast at 1.8-2.0 mnt. Its Western Australia iron ore operations produce 290 Mtpa, generating ~$7/t more in free cash flow than rivals-adding ~$2 billion annually.
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