Base metals prices soared on Monday, driven by renewed optimism surrounding global manufacturing. Recent data suggests a strengthening of industrial activity worldwide, boosting demand for these essential commodities.

Key Drivers of the Price Surge

• Improved Manufacturing Data: Positive manufacturing indices from major economies signaled a potential recovery in industrial output.
• Supply Chain Constraints: Ongoing disruptions in global supply chains continue to limit the availability of certain metals, adding upward pressure on prices.
• Increased Demand: Growing demand from sectors such as construction, automotive, and electronics further contributed to the price rally.

Specific Metals Performance

Copper, a key indicator of economic health, led the gains, followed by aluminum, zinc, and nickel. Analysts noted that the price increases reflect a broader expectation of sustained economic recovery.

However, some analysts caution that the rally may be premature, citing potential risks associated with inflation and geopolitical instability. They advise investors to exercise caution and closely monitor economic developments.