In Scandinavia, the arrival of summer and the milder weather is expected pave the way for a solid economic recovery. And in general, the Nordic economy seems to have been hit less badly than most parts of the world. Manufacturing industry is already booming and some signs of overheating can be seen.
Strong LME prices are attracting many non-ferrous metals into the market, although there are increasing price deductions when selling.
Restrictions in Denmark have now been removed and social activity is gradually increasing. If the accumulated consumption needs are released at once, there would be the potential risk of economic overheating. While the COVID crisis reduced employment significantly, most jobs have already been recovered.
In April, Sweden saw a dramatic increase in the number of COVID cases but, despite this, positive signs are to be seen in private consumption. The Swedish labour market has been moving sideways for some months but is expected to gain pace during the early summer months.
Norway’s adult population is expected to have been vaccinated against COVID by this summer and their country can then put all restrictions behind them. The labour market has been in recovery mode since February.
Finland seems to have come through the COVID crisis much better than anticipated, with only limited damage to the Finnish economy. Here too, the economy will be reopened in the coming months.
H.J.Hansen Genvindingsindustri A/S (DNK), Board Member of the BIR Non-Ferrous Metals Division