Reuters Review (11-24)

LME market: The London Metal Exchange (LME) aluminum futures surged nearly 2.5% in open outcry trading on Wednesday, as the US dollar fell further. Copper futures closed higher but dived from earlier highs. Pay close attention to technical distortions in recent months. The dollar has hit new lows against the euro and continues to be the main factor in pushing up the price, but market liquidity has gradually weakened. In the US market Thursday and Friday due to the Thanksgiving holiday, The market is expected to remain in a concussion trend. "The trade was light with little change. There were many short coverings before the US holiday." said one trader. "But I was a bit surprised by the aluminum trend." LME copper: three Copper for the month rose 14 US dollars to 3,095 U.S. dollars, 3110.50 from the day high. Traders and analysts said that copper is expected to quickly challenge the recent 16-year high of 3,175 U.S. dollars. "If inventory continues to decline, I think this is inevitable." A trader said that the technical distortions of copper in recent months have intensified. The spot/three-month reverse spread has widened from around US$130 on Tuesday to US$150. “We’ve been talking about this issue for the past month or so and studying why (spot/ Three months) The reverse spread is not 30 0 or 400 US dollars. I think the market has foreseen this situation and adjusted accordingly. "LME inventories fell to 62,050 tons on Wednesday, which was lower since July 1990. Considering the cancellation of warehouse receipts, the available stock is only 49,300 tons. LME Aluminium: Three-month aluminum surged 43 U.S. dollars, evening comprehensive trade closed at 1,830 U.S. dollars per tonne, and returned to the high range of 1,730-1,839. Since the sharp decline in mid-October, aluminum has been fluctuating in this range. Attempted to break through the strong resistance at 1,840, but all failed. Analysts are less concerned about the aluminum futures rally. "If you remove the depreciation factor of the dollar, aluminum prices are still very sluggish," said Calyon analyst Maqsood Ahmed. Metals tried to hit a new high, but there was no trading volume. It didn't feel like the bull market, basic commodities did not trade." COMEX copper: Copper futures exchange on the New York Mercantile Exchange (COMEX) closed to a high since Oct. 13, due to investment In the long weekend before the holiday season, we have to intervene. The weaker US dollar and lower inventories all contributed to the rise in copper prices. One trader said, "Because the dollar fell earlier, and it seems difficult to rebound, the copper price is sought after..." Traders said that buying was quite orderly and roughly The transaction was very quiet. A series of economic data announced earlier pushed copper prices further. The COMEX market will be closed on Thursday and Friday. The benchmark index rose by approximately 2.10 cents to close at 1.4385 US dollars per pound on the 12-month period. The six-week high was at $1.4420. The three-month period rose about 1.70 cents to close at $1.4315. The rest of the month ended around 0.20-2.10 cents higher. The estimated volume was about 31,000, of which about 6,293 were Rollover trading.

This entry was posted in on