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Metals whacked on worries more U.S. tariffs on China could dent demand

Published 07/11/2018, 08:35 AM
© Reuters.  Metals whacked on worries more U.S. tariffs on China could dent demand
AA
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BP
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CLF
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AKS_old
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X
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FCX
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HG
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CL
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SLX
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XME
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VALE
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XLB
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RIO
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BHP
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VAW
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MOO
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FXZ
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UYM
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DBA
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IYM
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COPX
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SOIL
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CROP
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VEGI
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PICK
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DAGXF
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BDDXF
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BOMMF
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DBB
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BOSXF
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RJA
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FUD
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NIB
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CPER
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CORN
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GRU
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RSPM
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WEAT
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FTAG
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PAGG
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SOYB
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FMAT
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LD
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CANE
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UAG
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PEO
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USAG
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  • Metals prices plunge on worries that Pres. Trump’s threat of another $200B in tariffs on Chinese goods, if enacted, would hit global demand.
  • Copper, already down nearly 15% since early June, recently was -2.9% to $6,162.50/metric ton in London, and zinc, nickel, lead and tin all are down more than 2%; agricultural commodities such as corn, cotton and coffee also are selling off.
  • “We’ll see those prices inflate the cost on the consumer level, leading to slowing demand and knocking commodities prices," says BMO Capital's Kash Kamal.
  • LME bets on the future movement of copper prices also fell to their most bearish since 2016, says Marex Spectron's Alastair Munro, adding that "trying to pick a bottom as the shorts add [up] has been futile."
  • in premarket trading: FCX -2.8%, RIO -4.2%, BHP -3.5%, VALE -2.6%, X -2%, AKS -2.3%, CLF -1.7%, AA -0.9%.
  • Earlier: Crude oil plunges after Trump tariff threat, Libya ports reopen (July 11)
  • ETFs: JO, DBA, CORN, XLB, MOO, XME, OTCPK:JJCTF, WEAT, NIB, SLX, SGG, SOYB, PEO, JJG, VAW, RJA, COPX, DBB, PICK, BALB, COW, CAFE, CHOC, UYM, CANE, CU, SOIL, IYM, JJN, CPER, DAG, JJA, FTAG, FMAT, SMN-OLD, GRU, PAGG, CROP, VEGI, AGA, BOM, FXZ, SGAR, BDD, JJT, NINI, RTM, CUPM, LD, WEET, FOIL, JJM, BOS, CTNN, FUD, UAG, USAG
  • Now read: Here's What I Think Of BP (LON:BP) Buying BHP's Shale Assets


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