With our Chinese friends now back from holidays, markets and traders are treading carefully with no strong economic data to push prices in any direction. Prices are a little weak at this time with trade limited to small volumes.
Ferrous Sellers….. Scrap prices are falling quickly as the northern hemisphere freeze passes, the price of finished steel stumbles and steel makers in emerging economies struggle to finance scrap purchases with their depreciating local currencies. All in all, we’re expecting to decrease buying prices substantially soon. Please been warned!
**** DJ LME Metals Close Mostly Lower in Lackluster Trade ****
By Laura Clarke
Base metals on the London Metals Exchange closed mostly lower compared with Friday’s settlement price in muted European trading hours. Some metals made intra-day gains in Monday’s session but gave up ground by the close of open-outcry trading in the London ring, after U.S. equities opened lower ahead of congressional testimony by Federal Reserve Chairwoman Janet Yellen on Tuesday. Only tin and nickel closed slightly higher from Friday’s close. LME three-month copper closed 0.6% lower than Friday’s closing price, at $7,095 a metric ton, while aluminum closed 1.1% lower at $1,701/ton. LME trading activity on the whole was quiet with low volumes, said Liz Grant, a senior account executive at broker Sucden Financial.”Tomorrow sees the new Fed chairwoman–Janet Yellen–deliver her first report on policy, which should focus some attention,” said Ms. Grant.