Metals in post-Trump rally blues

Original Post Source

The higher prices also boosted volumes of hoarded scrap entering the supply chain

Base metals are, for the most part, consolidating after the bullish moves that followed the US elections in November.  The stronger prices led to a pick-up in supply and some producers were able to increase output in response. However, the higher prices also boosted volumes of hoarded scrap entering the supply chain. The market is now working off the extra supply that emerged. Some in the market are taking the subsequent softening of prices as a sign that the bull market is over. And, believe a slowing global economy would now lead to a multi-quarter correction in metal …

TO READ THE FULL STORY, SUBSCRIBE NOW AT JUST Rs 149 A MONTH

Leave a Reply

Your email address will not be published. Required fields are marked *