SHANGHAI, Dec. 1 (SMM) – Base metals prices are expected to diverge today, with the strong US dollar and weak crude oil prices.
Official and Caixin’s November PMI for China are not promising given the weak manufacturing, which is mirrored by weakening profit at Chinese industrials in October released last week. Chinese nickel and copper smelters will reportedly cut output, and other industries also reported suspensions.
Eurozone manufacturing, in contrast, is showing mild improvement. European Central Bank is thus expected to expand quantitative easing measures soon.
Manufacturing activities in New York and Philadelphia improved in November, boding well for US manufacturing PMI in November slated for release this evening. This grew market optimism toward US non-farm payrolls.