Maybe the good news is priced in?
All the signs are that US-China trade talks are progressing well. On Friday, there were even media reports that the two sides had agreed timelines for implementing a deal. Given the good news on trade, some more upbeat economic data and the apparent strength in investor risk appetite, it is somewhat surprising that the prices of most industrial metals fell this week. We think the muted reaction perhaps reflects that these positive developments had already been factored in to prices.