A big sell-off has been witnessed in the metal prices overnight.
Copper fell 4.5 percent, while aluminium, lead and zinc declined anywhere between 3 percent and 4.5 percent.
There has been an unwinding of long trends in metal ever since China announced its measures. But now, the metals have hit a big speed bump especially after the US dollar rose to a two-month high.
Some of the factors that have affected the metal prices are - the US Fed’s forecast on inflation and bringing forward the time period for rate hike; growth in China’s factory output slowing down for a third straight month in May; and China also stating that they are flagging new rules for commodity price index from August 1 - so a big sell-off has been seen in metals. Most of these commodities are now closing this week on a negative basis.
Watch the accompanying video of CNBC-TV18’s Manisha Gupta for a roundup of all the action from the commodity market overnight.
(Edited by : Dipika)
First Published: IST