LME non-ferrous metals prices edge up; lead drops marginally

Prices of non-ferrous metals on the London Metal Exchange (LME) displayed an uptick, except lead. Three-month aluminium futures inched up by 1.5% to $2,177/t, nickel rose by 1.9% to $20,504/t, copper moved up marginally by 1% to $8,362/t, and zinc prices rose by 0.6% to $2,332/t. Contrastingly, lead prices dipped marginally by 0.6% to $2,152/t. Metal stocks in LME registered warehouses witnessed inflows for all base metals except lead. Notably, aluminium stocks rose by around 8% to 529,775 t from 491,050 t.

COMEX market

Copper prices on the Commodity Exchange (COMEX) witnessed an increase of 0.8% to reach $8,315/t from $8,250/t in the last trading day.

India: Non-ferrous scrap markets

Aluminium

The Indian imported aluminium scrap market displayed varied trends this week in different regions, constrained by limited offers due to volatile futures, leading to reduced buying interest and moderate transactions in certain areas. Sluggish metal futures weighed on market participants’ enthusiasm. Nonetheless, a recent mild recovery in the futures market might influence trade volumes and price patterns.

On the other hand, despite futures improvement, India’s domestic aluminium scrap market remains stable. Buyers are proceeding cautiously, preferring small-parcel, conservative purchases.

Copper

In India, the copper market remained steady, with a slight price uptick seen yesterday. LME copper futures rose by 1.30% to around $8,390/t, suggesting equilibrium in supply and demand. Trade sources anticipate ongoing price stability due to robust demand for finished copper products.

Global updates

Hindalco to invest in copper, e-waste facility, Indian Railways project

Hindalco Industries, part of the Aditya Birla Group, has planned an INR 2,000 crore investment in a pioneering copper and e-waste recycling facility to address environmental challenges. Another INR 2,000 crore will be invested in a project in collaboration with the Indian Railways for Vande Bharat trains, aligned with the company’s carbon reduction goals.

US July home sales decline

Existing home sales in the US hit a six-month low in July due to costly new mortgages, despite limited inventory boosting prices y-o-y. Sales fell 2.2%, particularly in the Northeast, Midwest, and South. Low supply may impact rebound as high mortgage rates deter buyers.

Oil prices up

Asian trade witnessed a modest rise in oil prices today. The market evaluated subdued demand signals from China, a leading importer, and the potential for increased U.S. interest rates, while also considering the possibility of constrained supply.

Brent oil futures were up by 0.14% to $84.15 per barrel. Crude oil WTI futures moved up slightly by 0.2% to $79.79 per barrel.

Natural gas prices down

Prices of natural gas were recorded at $2.557/MMBtu, down 0.12% at the time of publishing this report.

Dollar index

The dollar index, which gauges the value of the greenback in a basket of six different currencies, hovered at 103.13, witnessing a slight drop by 0.11%.

The rupee was recorded at 82.93 against the dollar, appreciating marginally by 0.16% against the last closing.