Citi says US election risk will keep metals contained for now

Uncertainty around the US presidential election in November will prevent meaningful gains for metals by subduing global risk appetite and possibly delaying government stimulus in China, according to Citigroup Inc.

“We think Fed rate cuts, further China policy easing, and an upturn in global manufacturing sentiment will be more constructive for metals pricing in late fourth quarter/early 2025, once the US election is behind us,” analysts including Tom Mulqueen wrote in a note, referring to the Federal Reserve.