Most special high-grade (SHG) zinc premiums were unchanged in the week to Tuesday November 13 despite the downward pressure stemming from limited spot demand and a wide backwardation in the London Metal Exchange’s cash/three-month spread, with lingering tightened spot availability providing support.
China’s largest private copper smelter Yanggu Xiangguang Copper is looking for equity shareholdings in mines around the world while it looks to secure its long-term concentrate supply, the company’s executive vice president told Fastmarkets.
Three-month base metals prices on the London Metal Exchange were broadly weaker on the morning of Wednesday November 14, with the three-month copper price down by 0.1% at $6,040 per tonne. This after Tuesday’s energetic start that saw the red metal reach $6,181 per tonne at one point.
Base metals prices on the Shanghai Futures Exchange weakened during Asian morning trading on Wednesday November 14, with the release of lackluster Chinese data failing to offset the downward pressure being exerted by a strong dollar.
Optimism continued to grow among copper market participants in the United States over the outlook for the domestic copper cathode premium following a key industry meeting this past week, with many attendees predicting a higher premium for next year.
The decision by the United States Treasury to extend the deadline for US companies to wind down their contracts with Russian producer Rusal has had little effect on global aluminium premiums over the week ended Tuesday November 13, with the market still watching the backwardated December-January spreads.