Home / Markets / Commodities / Select base metals may continue to rally in 2021 over weakening dollar

Select base metals may continue to rally in 2021 over weakening dollar

Zinc, aluminium poised for correction as prices move ahead of fundamentals

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Aluminium on the LME is at around $1,930 a tonne at present

5 min read Last Updated : Nov 24 2020 | 12:46 AM IST

With stimulus packages being announced across the globe amid the Covid-19 pandemic, base metals are seen benefiting from the same.

Copper, zinc and nickel have been rallying for the last 8 months as a broad-based weakening of the dollar made commodities cheaper for holders of other currencies. Besides, supply constraints from the pandemic-hit Latin American nations provided support to the metals, said brokerages.

Recently, the announcements of successful trials of multiple vaccines have also given a sentimental boost to the riskier assets such as crude oil and industrial metals, they said.

“We expect copper to cross $7,500 per tonne mark

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