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While the TD Securities commodity demand indicator has highlighted some improvement in broad commodity demand in recent weeks, the outlook for the red metal continues to be a muddy one.

Key quotes

“With lockdown measures lightening globally, the supply side appears to be recovering at a faster pace than the recovery in demand, which is weighing on prices in the near-term.”

“A resurgence in US-China tensions creates some uncertainty that could keep discretionary capital on the sidelines for a while longer. But, with the Chinese NPC set to take place next week on May 22nd, there remains the potential for a positive surprise, particularly as infrastructure spending could be ramped up to fight the economic troubles in the Middle Kingdom.”