EUROPEAN MORNING BRIEF 07/02: SHFE base metals broadly higher; soaring US aluminium premium pressures global markets; US copper premium holds at highs
Good morning from Metal Bulletin’s offices in Shanghai as we bring you the latest news and pricing stories on Wednesday February 7.
Most base metals traded on the Shanghai Futures Exchange were in positive territory during Asian morning trading on Wednesday, with only lead prices weakening.
Nickel led the gains with a 1.6% rise amid a healthy demand picture and a recovery in the US stock markets, which helped ease the risk-off tone which had pervaded the market earlier this week.
Check Metal Bulletin’s live futures report here.
|LME snapshot at 02.20 am London time|
|Latest three-month LME Prices|
|Price ($ per tonne)||Change since yesterday’s close ($)|
|SHFE snapshot at 10.21 am Shanghai time|
|Most-traded SHFE contracts|
|Price (yuan per tonne)||Change since yesterday’s close (yuan)|
The squeeze in truck availability in the United States has pushed the Midwest aluminium premium higher for a fifth consecutive week, in turn exerting upward pressure on premiums across the globe.
Copper premiums in the US held steady this week after previously rising for the first time since November due to freight costs, and market participants are only expecting those inputs to rise throughout the next few months and potentially push premiums higher.
Some mill-grade aluminium scrap prices in the US inched lower with declines on the London Metal Exchange and limited spot demand, while smelter-grade prices maintained a steady footing.
Metal Bulletin has reviewed the feedback received as part of its consultation on amendments to its international cobalt price specifications, launched on November 27, 2017.
The US Commerce Department has extended its deadline for announcing final results of an administrative review of anti-dumping duties on oil country tubular goods from South Korea.
Ferrous scrap export prices from the US diverged in the latest bulk sales, with two deals to Turkey concluded at lower values while another cargo was sold to India at improved prices.