Aluminum-delivery bottlenecks at warehouses that raised buyer costs and dragged the world’s biggest metals exchange into 26 U.S. lawsuits will last longer, after a plan to ease delays April 1 was tossed out by a judge.
Carmakers from Ford Motor Co. to Audi AG and Jaguar Land Rover Plc are using record amounts of aluminum to replace heavier steel, providing relief to producers of the metal confronting excess supplies and depressed prices.
Demand for lead in Japan, the third-biggest economy, is set to climb as the country seeks batteries and generators to help it recover from the destruction caused by its strongest earthquake on record and tsunami.
Indonesia’s ban on mineral ore exports will cut nickel supplies while allowing Freeport-McMoRan Copper & Gold Inc. to keep exporting copper concentrates. Nickel and the rupiah rallied, while shares of Nickel Asia Corp., which accounts for about a third of Philippine output, climbed.
The proposed additional delivery requirement at warehouses monitored by the London Metal Exchange should help limit the potential for spikes in metal premiums caused by long wait times at some locations, according to Barclays Plc.
Copper supplies relative to demand will fall to a four-year low as operating glitches, labor shortages and declining ore-grade quality cut mine supplies, boosting prospects for a price rebound, Barclays Capital said.