Metals
Aluminum, copper, steel and precious metals.
Will Chilean Production Issues Drive Copper Prices Higher?
Production issues from the world's largest copper miner, Codelco, could lead to a copper price rally. Codelco cited declining ore grades, lower recovery levels and halted projects due to worker fatalities; for the decline in production and delaying of future endeavors.
· Chris Stadele2 min read
Chinese Aluminum Supply Issues Could Rally Prices
China, which is the largest aluminum producer and exporter, is experiencing potentially bullish production issues. Sichuan province, a key production area that is experiencing a severe drought, has temporarily shuttered all its aluminum production due to power rationing.
· Chris Stadele2 min read
Zinc Prices Are On The Rebound Due To Supply Issues
Zinc prices surged over 6% in early trade on Tuesday, August 16 after Trafigura announced it will be shutting down one of Europe's largest smelters beginning next month due to high electricity prices.
· Chris Stadele2 min read
Aluminum prices are finding support: Consumers can lock in lower costs in 2023 and beyond
Aluminum prices could be fishing for a bottom. The LME 3M Select contract dropped by 13.1% in 1H 2022 but is nearly unchanged this quarter (11:00 AM CST 8/...
· Chris Stadele3 min read
American Automotive Production is on the Rebound
Pent-up consumer demand for new cars, trucks, and SUVs will lead to higher steel shipments in 2H 2022, according to steel producer Cleveland Cliffs. The co...
· Chris Stadele2 min read
Have Copper Prices Begun to Find a Bottom?
LME Copper 3M Select plunged by 20.5% in 2Q, the most significant drawdown since 2011, as slumping demand due to COVID lockdowns in China and fears over a ...
· Chris Stadele3 min read
What is Green Steel Anyways?
Production of green steel is set to increase in the coming years as producers aim to reduce their carbon footprint. Steel production is among the thr...
· Chris Stadele6 min read
Section 232 Tariffs: Most relevant developments (AEGIS Reference)
Most recent developments (5/11/2022) Public hearings on the economic impact of Section 232 import tariffs on steel and aluminum will begin in July 20...
· Chris Stadele6 min read
India's Steel Exports Tariffs Shock Producers
With no warning, India stunned its steel industry last Saturday by enacting a 15% tariff on HRC and CRC steel exports, effective May 22. One major ...
· Chris Stadele2 min read
China's Metals Exports are on the Rise
COVID lockdowns have slowed China’s economy to a crawl, weighing on metals demand. Relative to other metals, aluminum, copper, and steel have the mos...
· Chris Stadele1 min read
Russian Metals Production and Related News: Most Recent Developments (AEGIS Reference)
Most recent developments 4/21/2022: China rarely exports alumina; however, the country exported 9,949 mt of alumina to Russia last month, up from 104.5 mt...
· Chris Stadele10 min read
EIA Storage Report - A Winter Surprise!
Today’s EIA gas report survey was completely off the mark with a draw of 31 Bcf. To put that in perspective, most analyst’s estimates wer...
· AEGIS Market Analytics2 min read
LME Copper Stocks Drop, Prompting New Rules for Hedgers
New rules may affect copper hedgers who have a physical exposure to the cash market. Please contact AEGIS if you think this applies to you. ...
· Chris Stadele3 min read
More 2022 Development Capex Might Not Result in Production Growth
With fewer DUCs and higher steel costs to start 2022, the marginal new well may be much more expensive than one from 2021. U.S. oil developers have avoide...
· Matt Marshall4 min read
Is It Wise to Hedge HRC Steel with Crude Oil?
Oil and steel have some economic linkages, and their prices often trend similarly. It is possible to use the more liquid WTI forward curve to hedge steel...
· Chris Stadele4 min read
Hang Seng Index and Copper Prices Fall Together, Hinting at Demand Slowdown
Copper and China's Hang Seng Index (HSI) move by some of the same economic forces. The correlation between the HSI and copper broke its long-standing r...
· Chris Stadele2 min read
Will Iron Ore and Steel Fall Victim to the Australia-China Trade War?
Australia's intention to research the origins of the coronavirus ignited a trade war with China in late 2020, and Australia's alignment with the West ove...
· Chris Stadele2 min read
China's Inflation on Fire as GDP Data Looms
Since mid 2020, pandemic-related supply constraints have caused a rapid rise in commodity prices, including copper, leading to a surge in China's PPI and...
· Chris Stadele3 min read
Can China Both Jump Start Their Economy and Rein in Copper's Rally?
Copper has been red-hot this year, but the Hang Seng Index, which normally moves lockstep with the metal, has stalled. Efforts to jump start the ec...
· Chris Stadele2 min read
Steel capacity utilization might peak the same time as prices do
The steel capacity utilization rate has quickly recovered to pre-pandemic levels; however, the market may be getting ahead of itself. &nbs...
· Chris Stadele2 min read
Steel Demand For India Vehicle Production Drives Off Cliff
India's renewed COVID lockdowns have curtailed vehicle production and sales. Can steel producers cope? ...
· Chris Stadele2 min read
How much aluminum will China release from reserves?
Speculators run for cover as China threatens to release aluminum to cool speculation and inflation fears. ...
· Chris Stadele2 min read
Reuters: Shutting Down High-Carbon Aluminum in ... China?
AEGIS View: Current curtailments or shutdowns are relatively modest but if China continues down the eco path, supply-demand balances could be disrupted. &...
· AEGIS Market Analytics2 min read
Reuters: Profit Taking In Copper Holds Down Prices; Longer-term Still Bullish
AEGIS View: Since COVID, demand for copper, like many metals, has been rising faster than supply. If this continues, speculator selling is but a blip on th...
· AEGIS Market Analytics2 min read