* Traders vocal about needing a euro-priced LME steel
LONDON The London Metal Exchange (LME) launched seven new cash-settled futures contracts on Monday, including hot-rolled coil (HRC) steel, alumina and cobalt, aiming to attract more business after profits fell last year.
LONDON/FRANKFURT/DUESSELDORF Thyssenkrupp and Tata Steel will not go very far in concessions to gain approval for a planned steel venture, four people familiar with the matter said, adding their offer might not be enough to satisfy the European Commission.
* Thyssenkrupp, Tata Steel to form Europe's No.2 steel group
(Adds context on remedies, details from sources)
* Dollar hits three-week low, underpins copper
(Recasts, adds closing prices)
* Hopes for U.S.-China trade deal not enough to lift metals
* Global growth slowing, China struggling to stimulate
* Zinc to find support at $2,400-$2,500 as stocks dwindle
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By Maytaal Angel
LONDON, Feb 12 Zinc fell for a third session on
Tuesday, hitting its lowest in more than two weeks as the dollar
held near a two-month high and investors remained concerned
about global economic growth.
In wider markets, global equities rallied as investors grew
more optimistic about U.S.-China trade talks and cheered
Washington's deal to avoid another government shutdown, but this
was not enough to lift metals.
"The rational for higher (metals) prices right now is not
stacking up," said Bank of America-Merrill Lynch analyst Michael
"There (has been) higher confidence that maybe if we get a
trade deal we'll get higher prices, if China data improves we'll
get higher prices. But realistically, for now, the U.S. is
slowing, Europe is going nowhere and China is finding it hard to
stimulate its economy."
He added, however, that zinc should find support at about
$2,400 to $2,500 a tonne because of tight stocks.
Benchmark zinc on the London Metal Exchange shot up
by nearly a fifth in the month to Feb. 5, when it touched a
seven-month peak of $2,810 a tonne, but has since slipped. It
ended down 1.4 percent at $2,608 a tonne, having hit a low of
* ZINC STOCKS: Underpinning zinc, data showed LME
inventories of the metal eroded further to their
lowest since January 2008.
* ZINC TECHNICALS: Zinc attracted additional selling on
Monday after it breached the 200-day moving average at
* SPREADS: Cash zinc traded at a premium of $1 a tonne to
the three-month price , off a high of $125 in early
December, though Citi said the reduced tightness in the spreads
was lulling the market into "a false sense of looseness".
* DEMAND: "The seasonal demand pick-up in the second quarter
has the potential to almost wipe out (zinc) exchange stocks. Our
short-term point price target remains $2,800, but by the end of
the year we expect zinc to trade down to $2,400," Citi said.
* TRADE TALKS: U.S. Trade Representative Robert Lighthizer
arrived in the Chinese capital on Tuesday ahead of high-level
trade talks scheduled this week for the world's two largest
economies to hammer out a deal ahead of a March 1 deadline.
* THYSSENKRUPP: German steel-to-elevators group Thyssenkrupp
on Tuesday warned of a darkening economic backdrop,
including a weakening automotive market, signalling tough times
for its capital goods business ahead of a planned separation.
* OTHER METALS: Copper ended 0.7 percent down at
$6,106, aluminium lost 1 percent to $1,862, lead
ended down 0.5 percent at $2,035, nickel closed 0.6
percent down at $12,410 and tin finished down 0.5
percent at $20,925.
(Additional reporting by Naveen Thukral
Editing by David Goodman and Kirsten Donovan)
* Analysts say nickel's gains on Vale disaster overdone
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LONDON Global trader Glencore is close to finalizing a deal to make a $500 million payment to the mining arm of Brazil's Companhia Siderurgica Nacional (CSN) for iron ore cargoes to be delivered over five years, sources familiar with the matter said.
LONDON Global trader Glencore is close to finalising a deal to make a $500 million payment to the mining arm of Brazil's Companhia Siderurgica Nacional (CSN) for iron ore cargoes to be delivered over five years, sources familiar with the matter said.
LONDON, Jan 31 Global trader Glencore is close
to finalising a deal to make a $500 million payment to the
mining arm of Brazil's Companhia Siderurgica Nacional (CSN) for
iron ore cargoes to be delivered over five years, sources
familiar with the matter said.