Precious and industrial metals experienced slight gains overnight, fueled by anticipation surrounding ongoing trade negotiations between the United States and its key trading partners. A weaker US dollar further supported the metals market. The ANZ China Commodity Index reported a modest increase of 0.1%, with precious metals climbing 0.9% and industrial metals advancing 0.3%. ANZ Senior Economist Adelaide Timbrell noted that base metals stabilized as market focus remained on the US government’s trade discussions. Overnight trading saw aluminum at US$2,428 a tonne, copper steady at US$9,374 a tonne, nickel at US$15,545 a tonne, and zinc selling for US$2,647 a tonne.
Gold also benefited from the weaker US dollar and increased investor demand, spurred by falling US bond prices. According to Timbrell, ‘The prospect of weak economic data also provided some support.’ Spot gold was up 0.5% at US$3,337 an ounce. On the Australian market, the S&P/ASX200 rose 0.46% to 8,034.2 points by mid-morning. Sector performance was mixed, with energy and materials in positive territory, while industrials declined. Uranium producer Boss Energy (ASX:BOE) was a top mover, gaining 3.57% after announcing its first quarter of positive free cash flow. Investors are also awaiting Australian CPI data, expected to influence market direction.
