Metals Outlook: Concerns over slower global growth outlook, feeble demand from China

Weak economic indicators from China and concerns over global growth are hampering demand for industrial metals, with most trading at lower levels than in April. Copper and lead prices declined due to demand concerns, as did aluminium and zinc, which shed more than 50% so far. The property sector in China is beginning to stabilise, but recovery remains subdued due to high debt levels and inflation, while retail sales numbers have posted a contraction. Supply outlook for 2023 is encouraging and a deceleration of global growth and muted demand from China will continue to dominate the metals market.