Base Metal Overnight Update

Advisory Bazaar Info Services

Base metals ended broadly higher in the overnight session, with LME Zinc and Copper among the key gainers. Zinc posted the strongest move, while aluminium, lead and tin also traded in positive territory.

Copper Futures

LME Copper opened at $14,186/mt, initially climbed to $14,260/mt, before retreating to a low of $14,171/mt and closing at $14,185/mt, up 1.02%. Trading volume stood at 19,000 lots, while open interest increased by 1,603 lots to 263,000 lots, indicating fresh long-position additions.

The most-traded SHFE Copper 2609 contract opened at ¥108,070/mt and moved between ¥107,840–108,280/mt, before closing at ¥107,900/mt, up 0.14%. Open interest declined by 2,861 lots to 147,000 lots, suggesting short-position reductions.

Aluminium Futures

The most-traded SHFE Aluminium 2610 contract closed at ¥23,835/mt, up ¥215 or 0.91%. The contract traded in a range of ¥23,705–23,860/mt.

Prices remained above the 5-, 30- and 60-day moving averages but below the 10-day moving average, indicating resistance at higher levels. The ¥23,300–24,100/mt range remains the key trading zone.

LME Aluminium 3M closed at $3,244/mt, up 0.05%, after trading between $3,239.50 and $3,247.50/mt. The key trading range is $3,200–3,300/mt. Technical indicators continue to suggest weakening bullish momentum.

Lead Futures

LME Lead 3M opened at $1,899/mt and moved between $1,894.5 and $1,908.5/mt, before closing at $1,901/mt, up $1.5 or 0.08%. Open interest increased by 805 lots to 174,878 lots.

SHFE Lead 2610 traded largely sideways before rising to a fresh one-and-a-half-month high of ¥16,175/mt and closing at the same level, up ¥45 or 0.28%.

Zinc Futures

LME Zinc was one of the strongest performers, opening at $3,757/mt and climbing to $3,840/mt before closing at $3,822.5/mt, up $74.5 or 1.99%. Open interest increased by 1,747 lots to 262,000 lots.

SHFE Zinc 2610 opened at ¥25,950/mt and reached a high of ¥26,120/mt, before closing at ¥25,985/mt, up ¥275 or 1.07%. Open interest increased by 5,006 lots to 144,000 lots.

Tin Futures

LME Tin 3M closed at $56,070/mt, up $220 or 0.39%, after touching an intraday high near $56,200/mt.

LME tin inventories remain extremely low, with stocks around 1,740 mt, keeping deliverable supply outside China tight.

SHFE Tin 2609 closed the daytime session at ¥428,570/mt, up ¥3,520 or 0.83%, after touching a high of ¥431,140/mt. In the night session, the contract was quoted at ¥427,430/mt, down 0.06%. The ¥430,000/mt level remains an important resistance zone.

Market Outlook

Overall, the overnight base-metal complex remained firm to positive, supported by gains in copper and zinc. However, technical indicators for aluminium and tin suggest that upside momentum may face resistance at higher levels. Traders will continue to monitor global inventories, Chinese demand and positioning for further direction.