Copper extends gains on Chile strike and low stocks; RBI steps in to steady the rupee
Copper started the new week firmer after a gain of more than 2% last week, helped by the strike at Chile's Centinela mine and falling LME stocks. Aluminium is the weak spot, down about 2% on the week. Over the weekend the RBI announced fresh steps to support the rupee, including a special dollar window for state oil companies from today, which could ease pressure on import costs.
Copper extends its rally as the Chile strike continues
LME copper rose about 2.3% last week and gained another 1.8% in overnight trade, while Shanghai copper rose nearly 1%, mainly as short sellers bought back positions. The strike at Antofagasta's Centinela mine in Chile is in its second week, and LME copper stocks have fallen to a six-week low of about 2,33,000 tonnes. In China, buyers are cautious at these high prices and fresh cargo arrivals have eased spot tightness slightly.
For your business: Copper scrap rates in India rose about 2–3% last week and remain firm. Sellers can hold firm on offers; buyers may want to cover near-term needs rather than wait for a dip while the strike lasts.
Aluminium slips to its weakest level since late August
LME aluminium fell about 2% last week and is roughly 9% below its early-September high. LME stocks are near 2,39,000 tonnes. In China, aluminium ingot stocks at major consumption hubs fell by 35,000 tonnes to about 6,51,000 tonnes, a sign of steady buying at lower prices.
For your business: Aluminium ingot-grade and utensil scrap rates in India eased about 1% last week. Buyers have some room to negotiate; sellers may see limited upside until LME prices recover.
Zinc and lead edge up, tin lower on the week
Zinc and lead each rose about 1% last week and nickel gained under 1%, recovering from Thursday's sell-off. Tin was the weakest, down nearly 3% on the week.
For your business: Zinc and lead scrap rates in India firmed about 1–1.5% on Friday. Moves are small, so price deals on the day rather than relying on last week's quotes.
RBI opens dollar window for oil firms to support the rupee
The rupee closed Friday at ₹96.73 per dollar, close to its record low of ₹96.96 per dollar hit in May. On Saturday the RBI opened a special window from today to supply dollars directly to Indian Oil, HPCL and BPCL, tightened rules on currency derivatives and sharply cut position limits. The rupee strengthened in offshore trade after the announcement.
For your business: If the rupee steadies or recovers, the rupee cost of imported metal and scrap could ease slightly even when LME prices are firm. Importers may want to watch the rupee closely this week before fixing payments.
Melting scrap steady after early-October rise
Domestic melting scrap, ingot and billet prices rose in the first days of October, and HMS rates in Delhi were unchanged on Saturday. Power cuts in Chhattisgarh of 7–8 hours a night have cut output at some secondary steel units by up to 35%.
For your business: HMS and CR/HR scrap sellers can expect stable demand in north India. Mills in power-hit regions may buy in smaller lots, which could soften demand there.
Oil stays high and US yields remain elevated
Brent crude was around $104 a barrel on Friday as disruption to Gulf shipping continued, though signs of easing tension in the Middle East lifted market mood overnight. The US 10-year bond yield rose to about 5.24%, which usually weighs on metal prices.
For your business: High energy and freight costs keep imported scrap and smelting expensive. Factor transport costs into landed-price comparisons.
What to watch next
- Progress of talks at the Centinela copper mine in Chile
- Whether the RBI's dollar window for oil companies steadies the rupee
- China's September trade data, a key signal for copper and aluminium demand
- Oil prices and shipping through the Strait of Hormuz
- Power supply to secondary steel mills in Chhattisgarh
Prices now
LME prices are shown with a 2-day delay. Live LME and India rates are free for registered members.
This update is general market information, not investment or trading advice. Prices are indicative.
