Metals lose their sheen

Base metals prices began falling at the beginning of the week on the back of a continued slowdown in the US sub-prime mortgage market and a diversion of funds from industrial metals to energy, which emerged as a hot commodity because of an unabated decline in US inventories.

Nickel and lead witnessed one of the steepest weekly declines in the past year of 8.29 to 9.41 per cent while copper, zinc, aluminium and tin dropped between 1.5 and 4 per cent.

Outlook: Led by copper all metals are likely to see an upward correction next week on anticipated supply disruptions from a strike in Codelco's Chile plant.