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Below are Quote On Base Metals Update - Industrial metals on the MCX trade lower in the early half of Tuesday’s trading session By Mr. Yash Sawant, Research Associate, Angel Broking Ltd.

Industrial metals on the MCX trade lower in the early half of Tuesday’s trading session as bets on tapering of the expansionary monetary policy by the US central bank coupled with worries over China’s move to curb any commodity prices increase weighed on the entire pack. 

Markets expect that the US Federal Reserve might move towards a slightly hawkish stance after witnessing a steady recovery in the US economy and a stronger labor market which hampered the growth assets like industrial metals.

Moreover, Chinese officials announcing to accelerate monitoring and supervision of the commodities markets after China’s PPI soared to a multiyear high further added to the downside for industrial metals. China also plans to sell its state reserves of Copper, Aluminium & Zinc in order to ease the prices.

LME & MCX Nickle prices are down about 3 percent whereas LME & MCX Copper & Zinc prices are down by 2 percent.

Investors might also remain cautious ahead of China’s industrial production data for May’21 scheduled later this week for cues on demand in the biggest metal consuming economy.

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