Despite the continuing economic gloom, metal prices on the LME were largely stable yesterday.
China is on a national holiday this week, but a number of analysts are predicting that with prices of copper low, Chinese buyers may wait for it to fall a little lower before coming in to replenish stocks.
UBS executive director for wealth management research Dominic Schnider told Reuters: “I think the Chinese would start to think anything below $6,000 as an attractive opportunity for them to strategically rebuild stocks.”
Three month copper was up yesterday to $6,880 (£4,454) from Tuesday’s $6,810 (£4,426).
Aluminium edged down to $2,164 (£1,401) from $2,170 (£1,410) on Tuesday. Alloy fell to $2,125 (£1,376) on Wednesday from $2,150 (£1,397) the day before.
Lead was slightly lower at $1,908 (£1,235) yesterday from $1,920 (£1,248) a day earlier. Nickel was up a little to $18,410 (£11,918) from $18,400 (£11,958) on Tuesday.
Tin increased to $21,200 (£13,724) on Wednesday from $20,300 (£13,193) the day before. Zinc dropped a touch to $1,852 (£1,199) down from $1,857 (£1,207) on Tuesday.
Steel was up to $555 (£359) from Tuesday’s $540 (£351).
