The Weighbridge | No.009
weekly market intelligence data – 20 October 2026
Metals Slide as
NZ Dollar Rises
Copper retreats from recent highs, aluminium and nickel
weaken, and a stronger NZ dollar adds pressure to local
metal values.
NZD/USD
0.5662
▲ +1.1%
3 Week
high
US$410/t
■ HOLDING
Market
uncertainty
US$14,435/t
▼ −2.7%
Retreats
from highs
US$3,030/t
▼ −1.1%
Under
pressure
US$15,398/t
▼ −1.9%
42-week
low
US$1,889/t
■ Unchanged
Holding
steady
The Big Picture
Copper has slipped 2.7% this week as stronger US inflation figures pushed the US dollar higher and put pressure on global metal prices. The threat of a major strike at Chile’s Escondida mine has also eased, removing some of the supply concerns that supported last week’s rally.
Aluminium has fallen again, briefly dipping below US$3,000/t, while nickel reached a 42-week low as expectations of increased global supply continue to weigh on prices. Lead remains largely unchanged, while steel is holding near its last confirmed level of US$410/t, although signs of weaker demand are emerging in Turkey.
The NZ dollar has strengthened to 0.5662 against the US dollar, adding further pressure to the NZ dollar value of internationally traded metals.
Meanwhile, oil prices have climbed above US$109 a barrel as tensions in the Middle East raise fresh concerns about supply and transport costs.
Metals retreat as a stronger NZ dollar adds pressure, while oil prices continue to rise.
What this Means for Your Scrap
Copper, aluminium and nickel have all weakened this week, while a stronger NZ dollar
adds further pressure to local metal values. Steel remains uncertain, and lead is
holding steady internationally.
Steel last confirmed price remains around US$410/t, although Turkish mills are pushing for lower prices. The stronger NZ dollar could also weigh on local steel and whiteware values.
Copper has fallen 2.7% after last week’s gains. The stronger NZ dollar adds to that decline, although international copper prices remain historically high. Copper pipe, cable and wire may see some easing.
Brass is also facing downward pressure with copper retreating from recent highs. Clean brass, fittings and gunmetal may see softer values.
Aluminium briefly fell below US$3,000/t as increased supply continues to weigh on the market. Extrusion, cast aluminium and cans may feel further pressure.
Nickel has reached a 42-week low as forecasts point to a growing global surplus. This is putting pressure on stainless grades, including 304 and 316.
Lead has remained steady in US dollars, although the stronger NZ dollar may slightly reduce local lead-acid battery values..
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KEY DRIVERS & WHAT TO WATCH
US inflation is putting pressure on metals. Higher-than-expected inflation has strengthened the US dollar and raised expectations of further US interest rate increases. A stronger dollar generally makes metals more expensive for international buyers.
Copper supply concerns have eased in Chile. A strike at Escondida has been avoided following a new agreement, while talks continue at Centinela. Production disruptions at El Teniente remain a concern, but the immediate threat to supply has reduced.
Aluminium and nickel prices face further pressure. Aluminium production remains strong, while forecasts now point to a global nickel surplus. Both markets will be watching whether demand improves enough to absorb the additional supply.
Steel continues to hold its ground. Prices remain around US$410/t, although fresh market data is limited. Turkish mills’ next round of buying should provide a clearer indication of where prices head next.
The NZ dollar has strengthened. Rising to 0.5662 against the US dollar, it is reducing the NZ dollar value of internationally traded metals. The Reserve Bank’s interest rate decision on 28 October could influence its next move.
Steel buyers remain cautious. Turkish mills are pushing for lower scrap prices, with the next confirmed market figures expected to provide a clearer picture of where steel is heading.