Commodity News
HeadLine : Base Metals Basically Rose on Surging US CPI
Date : Oct 14 2021
Shanghai base metals were trending mixed on Thursday morning under the impact of the higher-than-expected US September CPI. Meanwhile, their counterparts on LME performed similarly. LME metals mostly closed higher in the intraday or overnight trading on Wednesday. Copper rose 2.79%, lead advanced 1.78%, zinc gained 5.31%, and aluminium fell 0.36%. SHEF metals performed similarly on Wednesday night. Copper won 1.9%, lead gained 0.7%, zinc rose 4.1%, and aluminium dropped 1.31%. The US September consumer price index announced overnight rose 0.4% month on month, exceeding expectations. It was 5.4% on the year, and registered the largest increase since 2008. The higher-than-expected US CPI highlighted the continued inflationary pressures in the economy. The US dollar index spiked briefly, but plunged due to the decline in the yield of longer-term public debt (yield rates). The copper futures rose significantly overnight. Both the domestic and overseas copper inventories dropped recently. According to the data released by China’s General Administration of Customs, China’s imports of unwrought copper and copper semis rebounded in September, and the demand improved, which supported the copper prices. In the spot market, sellers lowered the prices for transactions.

Source: SMM

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