Base Metals Drift In Dull Pre-Market

Base metal prices started the week on a slow disinterested note, with the London Metal Exchange (LME) markets showing a tendency to drift after a steady start, traders said.

There was little in the way of news over the weekend to stimulate the complex, while latest LME warehouse stock figures were much in line with recent trends, they said.

They (prices) have come off a little bit, but it is slow, and I think were just waiting for the rings, one trader said.

Copper started around $1,770 a tonne, but subsequently eased back to $1,759, down $3 from Fridays kerb close. In the short-term, the market is seen staying between $1,750, and $1,780/1,800.

 

Aluminium paid little heed to the 2,825-tonne stock fall, and eased back under some light liquidation, against a background of overhead technical resistance. Recent business was at $1,524, down $8.

Nickel also came in for some long liquidation, but was supported above $5,400, with recent trade at an unchanged $5,430.

Tin slipped under $5,200, and was $30 lower at $5,190. Lead and zinc were indicated at $528/531 and $1,133/1,134 a tonne, respectively. Alloy was stable at $1,345/55 a tonne.

Meanwhile, Comex and Nymex precious metals futures were expected to open mixed, with gold and silver under a little pressure from a firmer dollar and platinum-group metals firmer on the absence of Russian supplies. Comex April gold was called unchanged to down $0.50 from Fridays close of $304.60 an ounce.

In industry news, French central bank governor Jean-Claude Trichet said Saturday that France did not have any plans to sell gold.