Base Metal Overnight Update

Advisory Bazaar Info Services LLP

🔹 Copper: LME Copper settled at $13,543.5/mt, down 0.28%, while the most-traded SHFE Copper 2608 contract closed at 104,230 yuan/mt, down 0.20%. Declining open interest on both exchanges indicates long liquidation, reflecting profit booking and a cautious market sentiment.

🔹 Aluminum: SHFE Aluminum 2608 settled at 23,255 yuan/mt, up 0.39%, while LME Aluminum closed at $3,172/mt, down 0.16%. Prices remain above short-term moving averages but below longer-term averages, suggesting range-bound trading with overhead resistance. The recommended trading range is 22,800–23,500 yuan/mt for SHFE and $3,100–3,200/mt for LME.

🔹 Lead: LME Lead gained 1.00% to close at $1,869/mt, while SHFE Lead 2609 surged 1.57% to 15,840 yuan/mt. Falling domestic lead inventories and short covering supported prices, indicating improving near-term sentiment.

🔹 Zinc: LME Zinc rose 0.83% to $3,581/mt, and SHFE Zinc 2609 advanced 0.26% to 24,765 yuan/mt. Higher open interest alongside rising prices suggests fresh buying interest in the market.

🔹 Nickel: SHFE Nickel rallied above 130,000 yuan/mt, touching an intraday high of 133,000 yuan/mt with gains of nearly 2.9%. LME Nickel also traded above $17,000/mt, supported by strong buying momentum.

🔹 Tin: SHFE Tin 2608 closed at 412,270 yuan/mt, up 0.53%, extending its recovery amid steady buying interest.

Overall Outlook: Base metals witnessed a mixed-to-positive overnight session. Lead, zinc, nickel, and tin remained firm, aluminum traded in a consolidation range, while copper edged lower due to long liquidation. Traders will continue to monitor global macroeconomic developments, US dollar movement, and demand indicators for further market direction.