AGL 40.00 No Change ▼ 0.00 (0%)
AIRLINK 127.00 Decreased By ▼ -0.04 (-0.03%)
BOP 6.61 Decreased By ▼ -0.06 (-0.9%)
CNERGY 4.50 Decreased By ▼ -0.01 (-0.22%)
DCL 8.55 No Change ▼ 0.00 (0%)
DFML 41.78 Increased By ▲ 0.34 (0.82%)
DGKC 87.50 Increased By ▲ 0.65 (0.75%)
FCCL 32.59 Increased By ▲ 0.31 (0.96%)
FFBL 64.99 Increased By ▲ 0.19 (0.29%)
FFL 10.33 Increased By ▲ 0.08 (0.78%)
HUBC 109.37 Decreased By ▼ -0.20 (-0.18%)
HUMNL 14.65 Decreased By ▼ -0.03 (-0.2%)
KEL 5.09 Increased By ▲ 0.04 (0.79%)
KOSM 7.56 Increased By ▲ 0.10 (1.34%)
MLCF 41.40 Increased By ▲ 0.02 (0.05%)
NBP 59.61 Decreased By ▼ -0.80 (-1.32%)
OGDC 192.50 Increased By ▲ 2.40 (1.26%)
PAEL 28.20 Increased By ▲ 0.37 (1.33%)
PIBTL 7.79 Decreased By ▼ -0.04 (-0.51%)
PPL 150.99 Increased By ▲ 0.93 (0.62%)
PRL 26.85 Decreased By ▼ -0.03 (-0.11%)
PTC 16.03 Decreased By ▼ -0.04 (-0.25%)
SEARL 86.02 Increased By ▲ 0.02 (0.02%)
TELE 7.83 Increased By ▲ 0.12 (1.56%)
TOMCL 35.40 Decreased By ▼ -0.01 (-0.03%)
TPLP 8.24 Increased By ▲ 0.12 (1.48%)
TREET 16.38 Decreased By ▼ -0.03 (-0.18%)
TRG 53.19 Decreased By ▼ -0.10 (-0.19%)
UNITY 26.35 Increased By ▲ 0.19 (0.73%)
WTL 1.27 Increased By ▲ 0.01 (0.79%)
BR100 9,988 Increased By 104.4 (1.06%)
BR30 31,138 Increased By 537.6 (1.76%)
KSE100 94,171 Increased By 815.4 (0.87%)
KSE30 29,184 Increased By 252.8 (0.87%)

Lead prices hit new record highs on Monday as the market fretted about shipments from China, while copper touched a five-week high on supply woes. Lead for delivery in three months on the London Metal Exchange touched an all-time high of $2,430 a tonne in early European trade, before easing to $2,390 by the close, up against its last quote of $2,365/2,370 on Friday.
Lead, which is mainly used in battery consumption, has gained 43 percent, or $710, since the start of this year. "Concerns over Chinese exports are driving lead prices," Calyon metals analyst Michael Widmer said.
China started imposing a 10 percent tax on exports of unwrought refined lead from June 1, a move, which many predict, will sharply cut supplies from the world's biggest producer.
The country produced 2.68 million tonnes of lead last year, of which about one-fifth was exported. "We have not seen much trade data yet but there's widespread expectation that some of the exports from China will be hit, because of more expensive shipments and on the back of that people are still going long on lead," Widmer said.
Investors take long - buy and hold - positions when they expect prices to rise. Three-month copper on LME hit $7,695 a tonne, its highest since May 16, underpinned by a string of looming strikes and low inventories. It was last at $7,540, up $40 or 0.5 percent from Friday's close.
In New York, copper futures ended with modest losses after the market was unable to maintain a morning rally above key resistance. Copper for September delivery ended the day down 0.15 cent at $3.42 a lb on the New York Mercantile Exchange's COMEX division, after dealing between $3.4010 and $3.5170, its loftiest level in 4-1/2 weeks.
"The threat of potential strikes (is) fuelling the market," an LME trader said. MAN Financial said in a report: "Contract talks with subcontract workers at Chile's Codelco are probably the most important development to watch in this regard."
Contract talks at Chile's Collahuasi, one of the world's largest copper mines, stalled on Friday with time running out for the mine and union workers to reach a deal. Also in Peru, workers at Southern Copper's two copper mines and a smelter will go on strike June 23.
"Demand is obviously strong because copper inventories are down by another 1,300 tonnes. There's also strike threats," Widmer said. Copper stocks in LME warehouses have fallen by nearly 100,000 tonnes since early February and now stand at 116,600 tonnes, its lowest level since last October.
In industry news, Times newspaper reported that BHP Billiton, the world's biggest mining group, had revived plans for a $40 billion take-over of aluminium producer Alcoa Inc.
Anglo American said it will expand production and buy more assets to meet strong demand for raw materials from China and India. Nickel, which has lost more than $10,000 or 25 percent since its all-time high of $51,800 in early May, was $1,800 down at $40,400, while zinc was $60 softer at $3,685 and aluminium was at $2,705 against Friday's $2,750.

Copyright Reuters, 2007

Comments

Comments are closed.