Commodities round-up: Natural gas price slips below $7/mmBtu
Natural gas prices declined below USD 7/mmBtu and on Monday, April 18, it was trading at USD 8/mmBtu which is a nearly 15 percent decline from where it was 3 days ago. The prices though, for the current year, are still 90 percent on the higher side but the US LNG exports are at record and China ramping up LNG production as well which seems to be weighing on the prices.
The other decline is in the metal space and copper prices are trading at a 4-week low because of the strength in the US dollar, but apart from that, it is about the LME warehouses, which are seeing an increase in inventories.
The physical premiums in many countries also seem to be coming off and the markets are waiting for more demand from China and stimulus as well. Until then, it’s going to be quite a range-bound trading in metals too.
Watch the accompanying video of CNBC-TV18’s Manisha Gupta for more details.