METALS-Most base metals drop as lack of China stimulus disappoints

Credit: REUTERS/Ivan Alvarado

March 5 (Reuters) - Most nonferrous metals fell on Tuesday as traders were left disappointed at the lack of fresh supportive measures from top consumer China's key political meeting.

Three-month copper on the London Metal Exchange (LME) CMCU3 was down 0.4% at $8,506.50 per metric ton, as of 0247 GMT, while the most-traded April copper contract on the Shanghai Futures Exchange (SHFE) SCFcv1 rose 0.1% to 69,060 yuan ($9,594.86) per metric ton.

LME aluminium CMAL3 eased 0.3% to $2,227 a ton, nickel CMNI3 dropped 1.3% to $17,710, zinc CMZN3 shed 0.5% to $2,436, lead CMPB3 declined 0.5% to $2,041.50 and tin SSNcv1 dropped 1% to $26,560.

SHFE nickel SNIcv1 fell 0.4% to 136,730 yuan a ton, tin SSNcv1 eased 0.1% to 218,300 yuan, lead SPBcv1 was nearly flat at 15,980 yuan, while aluminium SAFcv1 rose 0.3% to 19,045 yuan and zinc SZNcv1 increased 0.3% to 20,645.

Investors and traders have been awaiting fresh stimulus measures from China's top leaders to boost economic growth and metals consumption, which has been subdued after the Lunar New Year holiday.

So far, Beijing set a widely expected 5% growth target for 2024, dampening risk sentiment across Chinese and other Asian equities markets. The annual gathering of the country's parliament will last until March 11.

The discount of LME lead cash to the three-month contract CMPB0-3 widened to $15.95 a ton on Monday, the biggest since Jan. 18, as inventories in LME warehouses surged to the highest since May 2017 at 183,100 tons.

For the top stories in metals and other news, click

TOP/MTL or MET/L

DATA/EVENTS AHEAD (GMT)

0030

Australia

Current Account Balance

Q4

0030

Australia

Net Exports Contribution

Q4

0145

China

Caixin Services PMI

Feb

0500

India

HSBC Services PMI

Feb

0600

Russia

S&P Global Services PMI

Feb

0850

France

HCOB Services, Composite PMI

Feb

0855

Germany

HCOB Services, Composite PMI

Feb

0900

Euro zone

HCOB Services, Composite PMI

Feb

0930

UK

S&P Global Composite PMI

Feb

0930

UK

Reserve Assets Total

Feb

1300

Brazil

S&P Global Services, Composite PMI

Feb

1445

US

S&P Global Services, Composite PMI

Feb

1500

US

Factory Orders MM

Jan

1500

US

ISM Non-manufacturing PMI

Feb

($1 = 7.1976 yuan)

(Reporting by Mai Nguyen in Hanoi; Editing by Sherry Jacob-Phillips)

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

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

More Related Articles

Info icon

This data feed is not available at this time.

Sign up for the TradeTalks newsletter to receive your weekly dose of trading news, trends and education. Delivered Wednesdays.