Copper held above one-month lows at Tuesday's kerb close on the London Metal Exchange (LME) weighed by long liquidation, with most other metals also softer as investors sat on the sidelines, analysts and traders said.
"Things are pretty much in limbo and there is an air of uncertainty about where prices will go from here," Pru-Bache minerals strategist Angus MacMillan said.
Copper ended the day at $2,821 a tonne, down from $2,872 on Thursday before the Easter holidays. Earlier in Asia three months prices fell to a one-month low just under $2,800 a tonne
MacMillan said he thought the cooling prices were partly a reflection of higher Chinese interest rates, but he thought prices still had the potential to go higher.
He added that he expected the backwardation in nearby spreads to widen.
"I think we are going to see more activity in the nearby spreads in the coming weeks and months. I'd be surprised if we don't see the backwardation flare quite considerably - out to $200 in the next quarter."
At the end of Tuesday the cash to three months spread was $79.50/89.50 backwardation.
Aluminium ended the day unchanged at $1,749.
"Aluminium is playing its own game. Option volatility's are sky-high and it's looking supported. It's the play of the minute and I wouldn't be surprised if it didn't have a go at $1,775-80," a trader said.
MacMillan said that although a double top in aluminium suggested a period of weakness, the market seemed to be holding up well.
"The rally in aluminium has nothing to do with its fundamentals. As long as the people who want to support it remain, it will be supported," he added.
Zinc fell to $1,020 from $1,039 as stocks rose 15,575 tonnes to 787,150 tonnes, up from around 716,200 tonnes at the start of April.
"I think zinc will hold at these levels. The stocks we have seen rising are destined to be locked away for years," a second trader said.
Tin rose $200 to $8,450, as it resumed an upward trend.
"We've seen a flare in the backwardation in tin out to $350/400. The fundamentals are clearly supportive. I think we'll see it up towards the recent high around $9,200 and probably beyond," MacMillan said.
Nickel was $900 lower at $12,900 and lead was $32 lower at $712.
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