Metals & Mining Monitor | Industrial Metals Prices Fell; GOLD/ALB/CCJ/IGO Released Earnings

$Copper Futures(SEP4)(HGmain.US)$ and $Aluminum Futures(SEP4)(ALImain.US)$, along with other industrial metals, have fallen due to a lack of buying interest in China, the top consumer of these metals. The LMEX Metals Index, which tracks the six main base metals, has also edged lower this week. Although the index had risen to an almost eight-month high earlier in March, with copper breaching $9,000 a ton for the first time in nearly a year, consumption in China has disappointed. The usual spring activity pickup has not fully materialized, and buyers have been deterred by recent price gains. Spot aluminum discounts are also widening, and traders are dumping cargoes, according to a research note by Jinrui Futures Co.

$Gold Futures(AUG4)(GCmain.US)$ and $Silver Futures(SEP4)(SImain.US)$ prices have closed for a second consecutive week with a decline as investors remained cautious ahead of the release of the US non-farm payrolls data, which could provide clues about the Federal Reserve's rate cut timeline. Last week, spot gold prices fell by 2.1% to $2294/oz, while spot silver prices dropped more than 4% to $26.5/oz. Analysts have attributed the fall in precious metal prices to weak global cues and profit booking at higher levels.

$Barrick Gold(GOLD.US)$, the Canadian mining company, has beaten first-quarter profit estimates on the back of higher bullion prices. The world's second-largest gold miner reported that its average realized gold prices rose to $2,075 per ounce from $1,902 per ounce in the same period last year. The company's all-in sustaining costs per ounce of gold, an industry metric that reflects total expenses, was $1,474 in the quarter, up from $1,370 per ounce a year earlier. Additionally, Barrick Gold announced that it has entered into an exploration partnership with Geophysx Jamaica.

$Albemarle(ALB.US)$, the Charlotte-based lithium miner, has reported a significant drop in first-quarter profit and revenue, with results continuing to be impacted by the decline in lithium prices. The company's profit fell to $2.4 million, down from $1.24 billion in the same period last year. However, adjusted earnings came in at 26 cents a share, one cent ahead of the 25 cents expected by analysts polled by FactSet. Albemarle's revenue also declined by 47% to $1.36 billion, but this figure exceeded analyst estimates of $1.29 billion. The company attributed the profit drop mainly to lower lithium market pricing, as well as additional margin compression due to inventory timing and reduced equity earnings at its Talison joint venture. The slowdown in electric vehicle sales growth in the U.S. over the past year has also weighed on battery metal prices, including that of lithium. Some mining companies, including Albemarle, have suspended or delayed new projects and expansions as a result.

$Cameco(CCJ.US)$, the Canadian uranium producer, has reported a loss in the first quarter due to a drop in revenue. The company announced a net loss of $7 million, or $0.02 per share, compared to a profit of $119 million, or $0.27 per share, in the same period last year. The result missed the S&P Capital IQ normalized EPS estimate of $0.34. Meanwhile, revenue dropped by 8% to $634 million, although adjusted EBITDA increased by 16% to $303 million. Cameco attributed its results to normal quarterly variations in contract deliveries in its uranium and fuel services segments, as well as the addition of Westinghouse.

$IGO Ltd(IGO.AU)$ has reported sales revenue of AU$161 million for the fiscal third quarter, which ended in March. During the reported quarter, the firm produced 280,000 tonnes of spodumene, 954 tonnes of lithium hydroxide, 6,527 tonnes of nickel concentrates, and 2,068 tonnes of copper concentrates.