LME main commodity international prices (2024. 11. 11.~11.15.)

1. Weak Chinese Economic Indicators

China's recent economic slowdown has negatively impacted the metals market. In particular, the October industrial production and retail sales figures fell short of market expectations, leading to concerns about declining metal demand. This has exerted downward pressure on prices of various metals, including copper and aluminum.

2. Expectation of U.S. Federal Reserve Rate Pause

The U.S. Federal Reserve is expected to hold off on further rate hikes for the time being, leading to mixed reactions in the market. Higher interest rates increase the cost of holding metals, so the news of a rate pause has influenced investor sentiment.

3. Strong U.S. Dollar

The continued strength of the U.S. dollar has made non-dollar denominated metals relatively more expensive, weakening demand. This poses a challenge for export-oriented metal markets.

4. Rising Nickel Demand

Demand for nickel, essential for electric vehicle batteries, remains strong. The ongoing global shift towards sustainability has driven consistent growth in nickel demand, supporting nickel prices.

5. Increased Inventories and Export Restrictions

Rising inventories of aluminum and copper in LME warehouses have put downward pressure on prices. Conversely, potential nickel export restrictions from Indonesia have acted as a bullish factor for nickel prices.

The metals market is currently influenced by a mix of factors, including China's economic slowdown, uncertainty over U.S. interest rate policies, and a strong U.S. dollar. Notably, changes in national policies and global demand trends are expected to play a critical role in shaping future price movements.