DAILY ROUND-UP – FastMarkets on FOMC, ali premiums and zinc TCs

A round-up of FastMarkets’ top stories published on March 16:

The US Federal Reserve left rates unchanged at 0.50 percent and expanded the timeline for further rate hikes, which sank the dollar and boosted industrial and precious metals.

Chinese copper consumers are bearish on demand for the metal this year, with most expecting no growth – sluggish sales of cars and air conditioners and a moribund property sector will offset increased state grid spending.

US aluminium premiums are close to a near-term bottom but a sharp recovery seems unlikely because the high prices earlier in the year attracted imports in large volumes that must now be absorbed.

Teck Resources has reached benchmark agreements for the supply of zinc concentrate in 2016 with both Korea Zinc and Glencore, with a 17-percent drop in treatment charges (TCs) from last year’s levels.

One aluminium producer has lowered its initial offer for second-quarter ingot supply to $115 per tonne for delivery to major Japanese ports (MJP), well-informed industry sources said.

Piotr Walczak has been named KGHM’s new vice president, the Polish copper producer said.

An aluminium price above $1,500 increases the potential for restarts of idled production, Macquarie warned.

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.