CAPITAL MARKETS

Zinc back at four-month highs

BASE metals had a positive session overnight, with zinc almost equalling its highest level since February.

Zinc back at four-month highs

Zinc was up 1.8% to US$2046.75 per tonne, just $1 lower than the four-month high reached earlier this month.

Copper was up 0.7% to $5782.50/t, while nickel rose 0.2% to $12,836.75/t.

Alastair Munro from Marex Spectron's LME desk said base metals had been supported by comments from a Chinese official that the fresh coronavirus outbreak in Beijing was under control.

"Currently there remains a dichotomy between the fear of a second wave of infections against ongoing optimism around policy stimulus," he said.

"And in that vein, airwaves appear to suggest China is likely to cut RRR over next week - possibly this weekend although other reports suggest 23/24th June more likely."

US stocks were almost unchanged, despite a 2.3% rise in the oil price.

Gold was slightly lower at $1731 an ounce.

The MySteel 62% Australian iron ore fines price was down 1.4% to $103.50/t after Vale announced it was restarting some idled production.

 

 
 
 
 
 
 

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