Zinc, nickel and copper can expect good times
Its futures keep growing as markets expect growing demand for these metals hoping the global trade pressure will ease.
The price of lead increased the most in last days, while its futures in global trades added almost half a percent. Copper and zinc futures went up in almost half the price. The value of nickel increased only in a few hundredth of a percent.
The growing prices are caused mostly by the optimism connected to the expected end of the US-China trade disputes. Possible tax reduction would probably lead to increasing of economic dynamics both in the US and China. These countries are major importers of these industrial metals.
“Metal prices mostly decreased due to more concerns about the trade disputes between the US and China,“ said Commerzbank analyst Daniel Briesemann. Nevertheless, regardless the outcome of the negotiations, markets expect the Chinese government to support investment activities of companies with cheap loans. The situation could act like a stimulus of domestic demand to basic industrial metals and therefore the futures could rise even more.