EUROPEAN MORNING BRIEF 30/04: SHFE closed for holidays; LME base metals prices up except for nickel; copper market to rebound in 2018, ICSG says

Good morning from Metal Bulletin’s office in Singapore as we bring you the latest news and pricing stories on Monday April 30.

Base metal prices on the London Metal Exchange were broadly up during Asian morning trading on Monday, following the release of positive Chinese economic data and an easing in geopolitical tensions.

The Shanghai Futures Exchange is closed on April 30 and May 1 due to public holidays in China.

Check Metal Bulletin’s live futures report here.

LME snapshot at 03.19 am London time
Latest three-month LME Prices
  Price ($ per tonne) Change since previous session’s close ($)
Copper 6,811.50 14.5
Aluminium 2,235.50 12.5
Lead 2,347 1
Zinc 3,137.50 16.5
Tin 21,010 110
Nickel 13,760 -125

The global refined copper market is expected to rebound from last year’s 163,000-tonne deficit to record a modest 40,000-tonne surplus in 2018 before falling back to a 330,000-tonne deficit in 2019, according to the International Copper Study Group (ICSG).

The US aluminium market has found little relief from high premiums despite the extension of the deadline for US companies to unwind dealings with sanctioned Russian aluminium producer UC Rusal.

Despite healthy economic fundamentals across metals markets, Sucden Financial forecasts further volatility on the horizon for aluminium. 

Southern Copper Corp increased its core earnings in the first quarter of 2018, with higher metals prices giving a positive boost to sales revenues despite a decline in copper production.

The US government’s easing of sanctions on Rusal benefits the Russian aluminium producer’s employees, US consumers of the metal – and any potential buyers of Oleg Deripaska’s shareholding, writes Lord Copper.

What to read next
Market reactions to the soon-to-be-implemented US copper tariff are driving short-term volatility and supply imbalances while fuelling long-term efforts to expand domestic production, recycling and infrastructure.
US export controls on recycled copper would have unintended consequences that could weaken the country’s domestic recycling and manufacturing ecosystems, the president of the Recycled Materials Association (ReMA) said.
The publication of Fastmarkets’ assessments for nickel 4x4 cathode, nickel briquette and nickel uncut cathode premiums in-whs Rotterdam was delayed on Tuesday July 16 because of a reporter error.
Fastmarkets has corrected its alumina index inferred prices, which were published incorrectly on Tuesday July 15.
The United States' copper recycling industry is ramping up pressure on policymakers to impose some form of export controls on high-purity copper scrap, arguing that current trade dynamics – particularly with China – are distorting prices, weakening domestic capacity and undermining national security goals.
Fastmarkets launched two new price assessments for Indonesia’s domestic trade in nickel ore on Tuesday July 15. The two price assessments are for domestic trades of Indonesian laterite ores with 1.6% and 1.2% nickel content. Indonesia now accounts for 60% of the global nickel supplies and while there is an official government reference price, known […]