5 November 2024: Data on LME COTR speculative positions (for the week ending 1 November) were released this afternoon. The data showed that net positions fell for all the base metals, with fresh shorts being seen in all cases, except tin. For tin, the dominant driver was long liquidation for the third week in a row.
The data showed that aluminium, copper, tin and zinc all looked slightly overextended, at around 60-67% of the historical range. By contrast, lead is close to the bottom of the five-year range at 3%, showing limited scope for further speculative selling. Nickel is also low at 21%.
We explained in our research piece that we use the trend in the categories “Investment Funds” and “Other Financial Institutions” combined for this report, because this total has a close correlation with LME price trends. The report can be found here: https://amt.co.uk/amt-insight-lme-cotr-follow-the-money/.
