Metal Price News Week 46
Week 46 most important news, that have affected the metal prices
Todays commodity prices
3 months LME USD 1.900 / EUR 1.610
3 months CLME USD 6.900 / EUR 5.840
The big news this week was yesterdays announcement from Pfizer and BioNTech that they are making good progress towards developing a vaccine against Covid-19, which are showing promising test results. The news immediately got the copper price to rise to over USD 7.000 per ton and aluminium price to rise to over USD 1.930 per ton. Since the market has calmed down again and aluminium is now trading around USD 1.900 and copper around USD 6.900.
The US president election has ended, with Joe Biden as the new president of the United States. There were a lot of insecurity around the outcome of the president election in the beginning, which caused the metal prices to fluctuate but as the result became more valid the metal prices rose, as a result of the declining risk. The outcome of the president election is still not 100% over, but unless something extraordinary happens, it is not expected to have an effect on the metal prices.
The copper price continues to be at a high level. There are several factors that influences the copper price. 3 of the main factors are
- Drop in the copper production. Among others the Peruvian copper production was 16,6% lower for the first 9 months of 2020 than 2019. The Peruvian copper production was 1,51 million ton for the first 9 months of 2020.
- China has unofficial banned Australian copper concentrate as of November 6th.
- China is importing significantly more unwrought copper then in 2019. China is importing over 40% more in 2020 than in 2019.
Factors that makes the price higher
News reading coronavirus.
Announcement of public stimulus in China, Europe and USA.
Trade agreements between China and USA.
Factors that makes the price lower
News regarding the coronavirus.
Low economic growth from China, US and Europe.
The trade war between China and USA.