More Stories

Informist, Friday, Mar. 28, 2025

By Ashutosh Pati

MUMBAI - Futures contracts of most base metals fell on the Multi Commodity Exchange of India and the London Metal Exchange Friday as investors remain worried that a potential trade war could derail global economic growth and hurt demand for metals.

US President Donald Trump announced a fresh 25% tariff on import of automobiles and auto parts, effective Apr. 3. "What we're going to be doing is a 25% tariff for all cars that are not made in the United States," Trump said at an event in the Oval Office. Trump also said larger tariffs could be imposed on the European Union and Canada if they worked together to do economic harm to the US.

"Tariffs are bearish for copper and other industrial metals in the context of slowing growth and keeping inflation higher for longer. With growth in the US likely to slow on the back of tariffs and China already struggling to revive its economy, demand for copper and other industrial metals is likely to weaken looking ahead," analysts at ING Economics said in a report.

Meanwhile, the US' actual GDP rose by 2.4% on year in the fourth quarter of 2024, slightly higher than market expectation of 2.3% growth. The growth, however, was significantly lower than the previous quarter's 3.1% print. The US is one of the top consumers of non-ferrous metals and a slowdown in its economic growth could hurt demand for metals.

For further cues, market participants await a speech by Federal Open Market Committee member Raphael Bostic early Saturday. They will also keep an eye on China's manufacturing purchasing managers' index, due Monday.  

COPPER prices rose due to a drop in inventories at warehouses registered with the Shanghai Futures Exchange. Copper stocks fell by 21,032 tonnes to 235,296 tonnes.

At 1922 IST, on the MCX, the April futures contract of:

-–ALUMINIUM was at INR 249.75 a kg, down 0.6%

–-Copper was at INR 902.85 a kg, up 0.1%

–-LEAD was at INR 180.45 a kg, down 0.9% 

–-ZINC was at INR 270.85 a kg, down 0.7%

Trading levels for the day on the MCX:

--Aluminium contract seen at INR 245.60-INR 253.50

--Copper contract seen at INR 881.30-INR 910.90

--Lead contract seen at INR 178.00-INR 182.60

--Zinc contract seen at INR 265.30-INR 274.70

End

US$1 = INR 85.47

IST, or Indian Standard Time, is five-and-a-half hours ahead of GMT

Edited by Vandana Hingorani 

For users of real-time market data terminals, Informist news is available exclusively on the NSE Cogencis WorkStation.

Cogencis news is now Informist news. This follows the acquisition of Cogencis Information Services Ltd by NSE Data & Analytics Ltd, a 100% subsidiary of the National Stock Exchange of India Ltd. As a part of the transaction, the news department of Cogencis has been sold to Informist Media Pvt Ltd.

Informist Media Tel +91 (22) 6985-4000

Send comments to feedback@informistmedia.com

© Informist Media Pvt. Ltd. 2025. All rights reserved.