Shanghai nonferrous metals closed with mixed performance, as the market has almost digested the impacts from the new COVID variant Omicron.

According to a report by the Australian Department of Industry, Science, Energy and Resources (DISER), global nickel finished products consumption will record 2.7 million mt in 2021, an increase of 15%, and register 2.9 million mt and 3 million mt in 2022 and 2023, respectively.

The PMI for steel downstream sectors stood at 49.97 in November, down 0.1 point month on month, but up 0.29 point year on year. The seasonally-adjusted composite index stood at 49.77, an increase of 1.37 points MoM and 0.27 point YoY.

The European Union intends to ban the exports of scrap to third-party countries that are not OECD countries, except for those permitted by third-party countries.

Shanghai nonferrous metals closed with mixed performance, as the market is recovering from the broad declines last Friday, triggered by the discovery of super COVID variant Omicron.

SHFE and LME metals fell across the board last Friday due to the COVID-19 pandemic outbreak in Africa, while the lead closed with gains.

The steel mills lowered their guide prices early last week, depressing the spot market and growing market pessimism.

Focuses this week should include: Industrial/Economic Climate Index, CPI monthly rate and the readings of Manufacturing PMI in Eurozone in November, US ADP payrolls and US unemployment rate in November; China official manufacturing PMI, China Caixin Manufacturing PMI in November. In terms of events, the Fed Governor Bowman will deliver a speech on the central bank and the US economy this Tuesday. European Central Bank President Lagarde will participate in a round table meeting in Turin. The Fed will publish a Beige Book on economic conditions this Thursday.

Imports of cobalt intermediate products were 5,166 mt in metal content in October (calculated at 27% grade), down 30% MoM.

The SHFE SS2112 contract rose slightly last week and hit the highest level at around 19,200 yuan/mt. The SS2112 price was higher than spot prices and over 1,000 yuan/mt higher than the SS2201 contract.