SPY380.36-1.97 -0.52%
DIA309.45-4.53 -1.44%
IXIC13,192.35+72.96 0.56%

METALS-Industrial metals rise on risk appetite, firm dollar weighs

· 02/05/2021 01:52
METALS-Industrial metals rise on risk appetite, firm dollar weighs

Updates prices, adds ShFE stocks details

By Mai Nguyen

- Most industrial metals rose on Friday as appetite for riskier assets returned following a fading GameStop-style frenzy, although a stronger dollar limited gains.

LME three-month copper CMCU3 rose 0.7% to $7,875 a tonne by 0809 GMT, while the most-traded March copper contract on the Shanghai Futures Exchange SCFcv1 closed 1% higher at 58,210 yuan ($8,993.71) a tonne.

LME aluminium CMAL3 rose 0.3% to $1,999.50 a tonne, nickel CMNI3 advanced 1.4% to $17,890 a tonne and zinc CMZN3 increased 1.2% to $2,659 a tonne.

ShFE aluminium SAFcv1 rose 2.5% to 15,555 yuan a tonne, nickel SNIcv1 climbed 2.1% to 132,850 yuan a tonne, while lead SPBcv1 added 2% to 15,275 yuan a tonne.

"The meme stocks are gone .. washed down the drain so no more forced liquidation by funds to pay for their losses on those," said a metals trader, referring to the trading frenzy involving GameStop Corp GME.N and silver. nL1N2KA2C1

"So everything can now go up, but commodities' upside is capped due to strong USD," the Singapore-based trader said.

The dollar .DXY, which was heading for its best weekly gain in three months, made greenback-priced metals on the London Metal Exchange more expensive for holders of other currencies. nL4N2KB037

Markets in China, the world's biggest metals user, will close from Feb. 11-17 for Lunar New Year holidays, potentially slowing demand for industrial metals.


* ShFE zinc stocks ZN-STX-SGH jumped 34.9% week-on-week to 60,361 tonnes, while ShFE tin inventories SSN-TOTAL-W rose 18.4% and ShFE aluminium stockpiles AL-STX-SGH increased 10.2% within the same period. nAZN00V14S

* Cash tin on the LME was at a $990 a tonne premium over the three-month contract CMSN0-3, indicating tight nearby supplies. LME tin inventories MSNSTX-TOTAL fell to 810 tonnes, hovering around the lowest level since May 2019.

* For the top stories in metals and other news, click


($1 = 6.4723 yuan)

(Reporting by Mai Nguyen; Editing by Rashmi Aich, Amy Caren Daniel and Barbara Lewis)

((mai.nguyen@thomsonreuters.com; +842438259623; Reuters Messaging: mai.nguyen.thomsonreuters.com@reuters.net))

 For related news and prices, click on the codes in brackets: LME price overview      RING= COMEX copper futures  0#HG: All metals news         MTL   All commodities news      C 
Foreign exchange rates FX=SPEED GUIDES LME/INDEX