The Weekly W(rap): 6-August-2021 – Global growth slowing as Fed steps closer to tapering
Macro Developments As of 6 August, about 201mn Covid-19 cases have been confirmed worldwide, and the death toll has surpassed 4.27mn, according to Johns Hopkins University data. The Biden administration is now weighing a plan to require all foreign visitors to be vaccinated. China imposed new travel restrictions across the nation as a delta-driven outbreak […]
The View from London: The Future is Green
Even though there are signs that global growth is slowing, the overall macro backdrop for base metals remains supportive, as robust demand from China – which has announced a net zero emission target (peak emissions by 2030, net zero by 2060) – and further US fiscal stimulus (with a focus on “green” infrastructure), together with […]
The Weekly W(rap): 16-July-2021 – Positive China GDP data and a dovish Fed
Macro Developments As of 16 July, about 189mn Covid-19 cases have been confirmed worldwide, and the death toll has surpassed 4.07mn, according to Johns Hopkins University data. High vaccination rates and falling infections in North America and the eurozone boosted global consumer confidence to a record high in Q221, pointing to a strong but “highly […]
The View from London: Have we seen the peak in metals prices?
The short answer is yes. As the second quarter ends and the third quarter is underway – slower summer months associated with a dip in industrial activity – the peak in metals prices has passed for this year. Credit growth and infrastructure spending in China has peaked and economic growth is slowing, while central banks […]
The Weekly W(rap): 9-July-2021 – Commodities troubled by growth fears
Macro Developments As of 9 July, about 185.7mn Covid-19 cases have been confirmed worldwide, and the death toll has surpassed 4.0mn, according to Johns Hopkins University data. President Biden declared that the US had achieved “independence” from the coronavirus, though he cautioned against complacency with more transmissible variants circulating in the country. Coronavirus variants are […]
The View from London: This time might be different!
Some say the copper price is too high and others say it is not high enough, but if the mantra of “the trend is your friend” is true, then the price trend is still pointing firmly up despite a recent dip on concerns that China is tightening policy and will crack down on speculative activity. […]
Metals Daily (28-May-2021): Is China using its currency to reduce inflationary pressures?
Source: BIS A concise summary of what’s moving markets, the impact on base, precious and ferrous markets, including Theme of the Day. What’s moving markets? US equities made only modest gains ahead of the main driver which is today’s April PCE report. The Fed’s preferred inflation measure is seen jumping to 2.9% in April, the […]
Metals Daily (27-May-2021): Post-consumer aluminium scrap tops 20 million tonnes for the first time
Source: International Aluminium Institute A concise summary of what’s moving markets, the impact on base, precious and ferrous markets, including Theme of the Day. What’s moving markets? Global equities marked time, as investors were reluctant to open new positions ahead of Friday’s highly anticipated April US personal consumption expenditure data for a read on inflation. […]
Metals Daily (26-May-2021): Substitution threat from high copper prices
Source: LME A concise summary of what’s moving markets, the impact on base, precious and ferrous markets, including Theme of the Day. What’s moving markets? Dovish reassurances from Fed officials are helping push global stock gauges higher but momentum is lacking. Fed officials pushed back against the idea that higher inflation would last long enough […]
Metals Daily (25-May-2021): Might this time be different?
Source: Bloomberg A concise summary of what’s moving markets, the impact on base, precious and ferrous markets, including Theme of the Day. What’s moving markets? Global equities were higher, as investors focused on prospects of a robust economic recovery. Bond yields and the USD lost ground. Bitcoin rebounded by 10% to around $38,000 after last […]