DAILY ROUND-UP – FastMarkets on annual copper talks and looming Chile strikes

A daily round-up of the top FastMarket stories from September 1. 

Workers at Anglo American’s Los Bronces mine in Chile have said they will strike in response to the company’s end-of-contract bonus offer.

One of the two unions at Codelco’s El Salvador copper mine in Chile has voted to go on strike after rejecting the company’s proposal for a new collective wage agreement starting next year, according to local media reports.

Chile’s mining regulator on Tuesday ordered a halt to certain operations of two major copper mines - one owned by Codelco and the other by Freeport-McMoran – following separate fatal accidents.

Codelco’s annual copper premium is set to fall to its lowest for at least seven years in 2017 because Chinese buyers will need to see a significant reduction in the benchmark to renew their long-term supply contracts rather than move to the spot market, sources said.

Speculation that the SHFE might delist one of Nornickel’s brands after the recent closure of its Polar division has received mixed responses from market participants in Asia.

United States aluminium premiums have crumbled below the psychologically and technically important six cents per pound barrier due to record high imports, softening demand and a lingering inability to easily finance stocks because of sloppy London Metal Exchange spreads.

The London Bullion Market Association (LMBA) has whittled down the shortlist for its request for proposal (RfP) to three parties – these are two exchanges and one fintech company, FastMarkets understands.

Americans’ appetite for new car purchases is waning as light vehicle sales disappointed in August.

Base metals ended Thursday’s LME trading session mostly in positive territory after upbeat Chinese data boosted sentiment, traders said.

The LME and LME Clear will return to their offices in 10 Finsbury Square on Monday, September 5.

Chilean mining executive Diego Hernández has been elected president of the Chilean mining association Sonami (Sociedad Nacional de Minería) for the 2016-2019 period.

Will Adams

About Will Adams

William Adams has been involved in the metals markets since 1982 – he has experience in many areas of the market from researching to trading and has worked in London, New York and Tokyo.