February 4, 2022

Metals markets are mixed again this week. China was on their New Year holiday this week, which might be partially to blame for the muted action. 

The Russia-Ukraine tensions continue to simmer. Many Western countries are threatening sanctions if Russia invades Ukraine. This could severely impact European metals production, which is heavily reliant upon on natural gas.  Many European countries, and therefore metals producers, import large volumes of natural gas from Russia. Natural gas inventories in the region are already low and could dissipate further if Russian flows are shut off.  For example, as of January 31, the European Union’s natural gas storage facilities are only 39 percent full, down from 52 percent in 2021 and 72 percent in 2020, according to Germany Eye. Europe gets 35 percent of their natural gas from Russia, according to Reuters.  (2/4/2022)

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Price Indications

Today's Charts

AEGIS Insights

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Important Headlines & Economic Data

AISI Steel Capability Utilization Rate

Investing.com Economic Calendar 

2/2/2022: Ukraine tensions: US trying to draw Russia into war, Putin says

2/2/2022: US troops to deploy to Eastern Europe amid Ukraine crisis

2/2/2022: Glencore reports 43% higher ferrochrome production

2/1/2022: German natural gas storage facilities only 37 percent full

1/31/2022: POSCO projects 5% drop in 2022 crude steel output

1/28/2022: Teck Resources’ QB2 to cost up to $500m more than planned