USA, Durables & Yields
Comments of particular interest are noted with ‘*’.
- USA economy recovery may be slowing a bit but is still basically positive. Vehicle orders backed off a bit in February.
- USA bond yields continue to lift slowly. Real USA 10yr bond yields are almost up to 0.0%.
- USA real 10yr bond yield has just turned positive. Still lower than the real Aust 10yr yield, hence a robust AUDUSD rate.
- Gold price has been jittery, following USD variations.
- A number of sound base metals projects are being advanced through toward production, as their respective markets continue to tighten.
Copper Copper prices following equities markets’ optimism over global economic recovery.
*Cobalt Cobalt consumption in 2020 up 29%. Glencore – Murrin Murrin. COB.
Nickel Chemistries of EV batteries.
Zinc & Lead China’s Cu & Zn smelters benefitting from byproduct H2SO4 sales. EV batteries.
Tin Tin supply has reduced markedly, esp in Indonesia.
Aluminium Ship stuck in the Suez exacerbated Al billet shortage in Europe.
*Gold Choppy trading this week, influenced by USD moves.
Platinum & Palladium Hydrogen fuel technologies anticipated to support platinum.
*Oil Oil prices (esp in Europe) increased on concerns of Suez disruption.
*Coal Unusual swaps being done in coking coal to get around China’s bans.
*Iron Ore Prices increased, supported by strong steel prices.
*Shipping Asian freight rates gained this week amid heavy rains and floods.
*USA – Treasury Yields: slowly rising, with improving outlook.
*USA – Durable Goods, Vehicles & Electronics: +ve growth for durables & electronics.