Dec 22 (Reuters) – London copper prices held steady on Wednesday as tight supply and renewed risk appetite countered concerns over the rapidly spreading Omicron coronavirus variant across the globe.
Three-month copper on the London Metal Exchange CMCU3 was flat at $9,531 a tonne, as of 0245 GMT, hovering close to Tuesday’s peak of $9,570 – its highest since Dec. 10. The most-traded January copper contract on the Shanghai Futures Exchange SCFcv1 gained 0.6% to 69,440 yuan ($10,897.68) a tonne.
Asian share markets were gaining ground as the risk appetite of global investors rises heading into year-end. MKTS/GLOB
On-warrant copper stocks in LME-registered warehouses MCUSTX-TOTAL were at 81,425 tonnes, up from a historic low of 14,150 tonnes hit in October but far below recent peaks.
Stocks in Shanghai Futures Exchange (ShFE) warehouses CU-STX-SGH were at 34,580 tonnes, the lowest since 2009, while inventories in Chinese bonded warehouses SMM-CUR-BON have plunged to a record low of 160,500 tonnes.
FUNDAMENTALS
* LME aluminium CMAL3 rose 0.2% to $2,759 a tonne, nickel CMNI3 edged 0.3% higher to $19,680 a tonne, lead CMPB3 eased 0.2% to $2,291.5 a tonne and zinc CMZN3 fell 0.4% to $3,415 a tonne.
* ShFE aluminium SAFcv1 gained 1% to 19,740 yuan a tonne, nickel SNIcv1 rose 1.8% to 145,730 yuan a tonne, zinc SZNcv1 was up 0.7% at 23,625 yuan a tonne, lead SPBcv1 fell 0.8% to 15,395 yuan a tonne and tin SSNcv1 rose 1% to 287,290 yuan a tonne.
* Peruvian Prime Minister Mirtha Vasquez strongly urged communities blocking a road used by MMG Ltd’s 1208.HK Las Bambas copper mine to clear the route by midday on Wednesday, saying the blockade had created major problems for the country.
* China has the confidence, condition, and ability to keep economic growth at a reasonable level, a senior state planning official told the Xinhua News Agency.
* Japan’s biggest copper supplier Pan Pacific Copper expects the metal’s average price to drop to $8,600 a tonne in 2022 from $9,300 this year as additional supply from new mines will ease tightness seen in recent years.
* For the top stories in metals and other news, click
TOP/MTL or MET/L
MARKETS NEWS
* The dollar edged down again, starting a third successive session under pressure as investors favoured riskier currencies and asset classes. USD/
DATA/EVENTS (GMT)
0700 UK GDP QQ YY Q3
1330 US GDP Final Q3
1500 US Consumer Confidence Dec
1500 US Existing Home Sales Nov
($1 = 6.3720 Chinese yuan renminbi)
(Reporting by Eileen Soreng in Bengaluru; Editing by Subhranshu Sahu)
(([email protected]; Within U.S. +1 646 223 8780, Outside U.S. +91 80 6749 6131; Reuters Messaging: [email protected]))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
www.nasdaq.com