LIVE FUTURES REPORT 14/01: Weak Chinese export data continues to limit LME base metals

January 15, 2019 / www.metalbulletin.com / Article Link

Base metals prices on the London Metal Exchange were mostly lower day-on-day at the close of trading on Monday January 14, with investors continuing to limit commodity investment after weak Chinese export data fueled concerns of a slowdown in global economic growth.

The three-month lead price fell furthest over the afternoon and remained in negative territory, trading at less than $2,000 per tonne after ending below the mark at Friday's close.Continued drawdowns in LME supply have failed to prompt an uptrend in the metal's futures price, while a similar story across the LME's dwindling zinc supply remains in effect, with zinc's three-month price similarly trading in a downtrend.Tightness in zinc's forward curve also eased over the afternoon, with the metal's cash/three-month spread narrowing to $2 per tonne. Zinc spreads were seen in a backwardation of $77 per tonne last week, with an analyst indicating that increased lending and fewer larger positions were key reasons for the easing in the spreads.Meanwhile, nickel futures consolidated lower but remain well supported and close to $11,400 per tonne, while aluminium's three-month...

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