Aluminium stocks on London Metal Exchange witnessed huge build up of 97 100 tonnes thereby taking the total stock to 43 69500 tonnes. On the fundamental front imports of aluminium rose 8.7 percent to 82 927 tonnes as against rise of 7.9 percent in the prior month. Prices fell along with decline in open interest indicating profit booking at higher levels. Copper After rising for 17 consecutive sessions stocks of copper declined by 1225 tonnes on London Metal Exchange. The cancelled warrant ratio has also moved higher sharply indicating that the stocks might continue to witness draw down. On the fundamental front Chinese imports of copper in the month of December declined by 2 percent to 344-558 tonnes. Lead Lead prices underperformed most of the other base metal prices as prices declined by close to 2 percent owing to profit booking. Lead stocks on London Metal Exchange witnessed build up of 675 tonnes. The basis continues to remain in negative as the spot prices trade at a premium indicating tight supply conditions. The premium currently stands at $24 tonne. Nickel Nickel stocks on London Metal Exchange declined by a modest 90 tonnes. Both the basis and cancelled warrant ratio are giving no clear indication of future price movement and thereby it might continue to track other base metals. No major movement was witnessed on both open interest and volumes front and thereby prices also declined marginally by half a percent. Zinc Zinc stocks on London Metal Exchange declined by a modest 25 tonnes The cancelled warrant ratio which indicates the material earmarked for delivery declined to 0.24 percent. This is the lowest among all the base metals and thereby would create pressure on prices Prices fell along with increase in open interest indicating build up of short positions.

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