SHANGHAI, Feb 23 (SMM) — Shanghai base metals were mostly higher on Tuesday morning, while their LME counterparts also rose for the most part, the US dollar resumed its slide on Monday as traders focused on the promise of coronavirus vaccinations and the outlooks for economic growth and inflation that could push bond yields higher.
Shanghai base metals, except for zinc and nickel, cruised higher in overnight trading. Copper rose 1.88%, aluminium added 0.6%, lead firmed 0.38% and tin advanced 1.38%, while zinc shed 0.82% and nickel weakened 1%.
The LME complex, except for nickel, closed higher on Monday. Copper advanced 1.93%, aluminium rose 1.83%, zinc firmed 0.73%, lead gained 0.79% and tin surged 3.11%, while nickel slid 0.66%.
Copper: Three-month LME copper advanced 1.93% to close at $9,113.5/mt on Monday after hitting its highest since 2011 at $9,269.5/mt earlier in the session. The most-traded SHFE 2104 copper contract rose 1.88% to end at 67,320 yuan/mt in overnight trading.
US President Joe Biden’s $1.9 trillion stimulus package is likely to pass at the end of the week, while the Fed Chairman Powell reiterated the central bank’s commitment to easy money policies, and this boosted copper prices. Trades were muted in the spot market despite the surges in copper futures prices as high prices kept downstream buyers on the sidelines. LME copper is expected to trade between $9,070-9,150/mt today, and SHFE copper between 67,100-67,600 yuan/mt, while spot copper will be traded between discounts of 50 yuan/mt and premiums of 60 yuan/mt.
Aluminium: Three-month LME aluminium gained 1.83% to settle at $2,175/mt on Monday, with open interest adding 4,910 lots to 694,000 lots.
The most-liquid SHFE 2104 aluminium contract added 0.6% to close at 16,790 yuan/mt in overnight trading, with open interest decreasing 1,428 lots to 212,000 lots.
FOR REGULAR UPDATE VISIT OUR SITE.
CLICK LINK BELOW.
SUBSCRIBE MY YOUTUBE CHANNEL