Headlines & leaders - (Bloomberg) China Plans Tariff Cuts for Commodity,
Consumer Goods to Encourage Imports // Singapore Jobs, Taiwan Slowdown Show
Europe Impact on Asian Trade: Economy // Asian Stocks Gain on Australian
Rates, Earnings, South Korean Confidence // Anti-Austerity Calls in Europe
Rise as Election Campaigns Reach Final Days // King Faces 10 Days of Angst
on BOE Stimulus as Britain’s Recession Festers // Spanish GDP Drops
Less-Than-Forecast 0.3% as It Enters Recession: Economy // Occupy Wall Street
Plans Global Disruption of Status Quo May 1 // European Stocks Slide as Spain
Enters Recession, Extending April Decline // Father of Treasury Floating-Rate
Notes Says Now Worst Time to Begin Sales // Business Activity in U.S. Cools
While Consumers Continue Spending: Economy // Homeownership Rate Drops to
Lowest Since ’97 on Foreclosures, Tight Supply // Euro Weakens as Spain
Enters Recession; U.S. Stocks, Commodities Retreat
The Euro is 2/10 of 1% lower against the US Dollar. NYMEX crude is down 7/16
of 1% and trading at $104.48/barrel. Gold is up slightly, while silver is
off over 8/10 of 1%. Base metals ended the session mixed, with nickel one
of the losers. Indicator charts show nickel spent much of the session in
a slow, steady decline. For the day, and month, Dow Jones reports three month
nickel closed at $8.11/lb. Stockpiles of nickel
stored in LME approved warehouses rose sharply on Friday and now totals just
over 103,900 tonnes. Nickel ends April $.02/lb lower than it ended March,
and down $.38/lb since the last day of 2010. Much of the world will be closed
for business tomorrow, for May Day festivities, but the London Metal Exchange
will be open for business tomorrow and and shut down Monday, May 7th instead.
China will be on holiday but we still get their April PMI data, which will
be closely watched and could give nickel a nudge. News out of Indonesia will
be watched closely this month in regards to the export restrictions of nickel
ore and when, and how, exactly this might take place. So much uncertainty
surrounds this situation, that is hard to decide if the market has already
figured a ban into the current trading price.
A Ferrochrome
producers seek support for export tariff - South Africa’s mature chrome
value chain which provides over 200 000 jobs and contributes over R42 billion
in Gross Domestic Product is under threat and its rapidly declining market
share is putting jobs at risk, Ferrochrome producers alleged in a meeting
held with North West Premier Mme Thandi Modise in Mahikeng this week. -
more
Morning
Briefing(8:00 AM CST
is 1PM in London)
Indicators at 6:55 am CST show 3 month nickel trading around $.07/lb
lower, with other
London traded base metals mixed. The Euro is trading 1/4 of 1% lower against
the US Dollar. NYMEX crude futures are down 6/10 of 1% and trading at
$104.32/barrel. Gold is down slightly while silver is off 1/2 of 1%. In overnight
trading, the few Asian markets trading ended higher, with most Asian countries
shut down for an extended Mayday holiday weekend. European markets are trading
lower this morning, and US futures are slightly lower at the moment. Nickel
stockpiles rose sharply on Friday.
Bloomberg morning - Copper Climbs Fifth Day as Stockpiles Decline in
London -
more
Reuters morning - Copper shaken from 1-month high as dollar rises -
more
LME Morning - Metals drift from initial multi-week highs, follow through
fades -
more
Reports
Damstahl Stainless Steel Report April 2012 -
pdf here
Metals continued to work higher on Friday, with copper rallying to its highest
level in nearly three weeks amid growing signs of both physical and
futures-related tightness. In addition, the fact that the US GDP number came
in on the weaker side (as we said it might in Friday’s note) ironically
helped the advance as well, since it not only weakened the dollar, but revived
hopes of some sort of quantitative easing taking place down the road. GDP
for the first quarter came in at 2.2%, substantially less than the 2.5%-2.6%
expected, and well below last quarter’s 3% increase. However, its negative
impact was cushioned somewhat by the fact that the closely watched consumer
spending component rose by its strongest amount in more than a year-- up
2.9% versus 2.1% in Q4, thanks mainly to robust auto sales and a good pick-up
in housing. In addition, inventory build-ups made up only half a percent
of the growth readings compared to a more substantial 1.81% in Q4. Outside
of consumer spending, government and business spending both slipped this
past quarter, as the former eased on account of a rise in austerity measures
and cuts in defense spending, while business outlays fell on account of a
temporary expiration in tax and investment credits. Right now, markets have
opened the new week in quiet fashion, with metals pretty much mixed. Copper
did get to a high of $8496 earlier, but prices have since retraced and are
now in negative territory, while other metals are not doing much either.
Precious metals and energy are both down a touch, as is the Euro, now trading
at $1.3220. US stocks are expected to open higher. .... We are still quite
cautious on the markets here given the European situation and the generally
sluggish macro outlook. Having said that, we realize that the ongoing tightness
in copper is real and is playing a dominant role in supporting the group
as a whole. At some point, however, copper stocks will start to build,
particularly given the fact that demand remains weak. More importantly, metal
will find its way into the system to feed the backs; in fact, we already
may be seeing signs of copper holdings in China starting to move out (see
our story that follows) and should these outflows accelerate, as we expect
them to, they will add to stocks and compress the spreads in the weeks ahead.
..... Nickel is at $17,895, down $205, and still very range-bound for the
moment. (complete report
here)
Commodity/Economic Comments
(PR) First Nickel Inc. reports that it has completed the work required to
satisfy the stop work order issued by the Ministry of Labor last week. The
Ministry lifted the order at 6:00pm on Sunday, April 29, 2012 and the mine
has resumed normal operations starting with the shift on Sunday night. The
Company does not anticipate any negative impact on second quarter production.
(Yieh) Yieh United Steel Corp. (Yusco), one of the largest stainless steelmaker
in Taiwan announced its May list prices on April 27th. The company decided
to cut the domestic prices of 300 grade stainless steel products by NT$2,000/ton;
while it remained the domestic prices of 400 grade stainless steel products
unchanged for May deliveries.
(PR) PT PLN, a state-owned electricity company in Indonesia, has signed a
memorandum of understanding to 300MW electricity to meet the energy needs
for the operations of industrial nickel smelter owned by PT Bumi Modern Welfare,
or BMS, located at Sulawesi and East Java.
(Dow Jones) Toledo Mining Corporation PLC Monday said production of run-of-mine
ore from Berong nickel mine during the first quarter ended March 31 amounted
to 183,000 wmt, or Wet Metric Ton, at an average grade of 1.88% Ni.
(DOw Jones) OAO Norilsk Nickel, the world's largest nickel and palladium
maker, said Friday its first-quarter nickel output increased 7% compared
with the same period last year, to reach 75,824 metric tons.
(SSY) According to the latest Short Range Outlook from the World Steel
Association, apparent steel use (ASU) for 2012 is set to rise 3.6% year-on-year
to 1422.3 Mt after a solid growth of 5.6 % in 2011. The WSA forecasts that
world ASU will increase by a further 4.5% to another new record of 1485.7
Mt in 2013.
The International
Stainless Steel Forum (ISSF) has released this new video to mark the centenary
since stainless steel was first discovered and commercialised. -
more
Morning Nickel
Inventory and Price Statistics & Figures
Today's almost official prices
here / Yesterday's actual
LME official prices
here
or
here
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info, or become available to subscriber's only. We encourage our readers
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Headlines & leaders - (Bloomberg) China Seeks Boost From Low-Income Housing
as Real Estate Slows // China’s Industrial Profits Rebound to Rise 4.5%
in March // Most Chinese Stocks Drop as Profit Concerns Overshadow Easing
Speculation // Bank of Japan Expands Stimulus as Lawmakers Push for More
Growth: Economy // Spain Rules Out Need for EU Bailout as De Guindos Says
Banks Fully Funded // Italian Borrowing Costs Climb at $7.9 Billion Auction
of Benchmark Bonds // France Unemployment Near 10% Fueled by Laws Election
Doesn’t Address: Jobs // Netherlands Reaches Austerity Deal, Ending
Budget Impasse // Recession-Wracked Greece Nears Vote That May Decide Fate
in Euro // European Stocks Advance, Capping Longest Stretch of Gains Since
March 16 // Ford Rises as Profit Tops Analysts’ Estimates on North America
Auto Sales // Economy in U.S. Grows 2.2% as Stockpile Drop Overshadows
Consumption Surge // El-Erian Says U.S. Economy May Need ‘Assistance’
as Growth Is Insufficient // Stocks Gain as Earnings Results Temper U.S.
GDP Report; Euro Strengthens
The Euro is presently trading 1/4 of 1% higher against the US Dollar. NYMEX
crude is down 1/3 of 1% and trading at $104.21/barrel. Gold is up nearly
1/2 of 1% and silver is up over 3/4 of 1%. Base metals ended the session
higher ... except for nickel. Indicator charts show nickel rose early, traded
choppy for much of the session, and fell hard late. For the day and week,
Dow Jones reports three month nickel closed at
$8.21/lb. Stockpiles of nickel
stored in LME approved warehouses rose on Thursday and now totals just over
101,750 tonnes. Here is how a Dow Jones author titled their daily base metals
article "LME Metals Close Mostly Higher Amid QE3 Hopes". If this is the real
reason for today's overall increase in base metals pricing, then we feel
traders may be disappointed. We end the week in the US with a lower than
expected 1st quarter GDP report, but with earnings still surprising, the
Dow is trading higher.
Indicators at 6:55 am CST show 3 month nickel trading around $.05/lb
high, with all London
traded base metals trading higher at the moment. The Euro is presently trading
nearly 1/10 of 1% higher against the US Dollar. NYMEX crude futures are down
1/3 of 1% and trading at $104.19/barrel. Gold is trading is down nearly 2/10
of 1% and silver is off nearly 1/4 of 1%. In overnight trading, Asian markets
ended higher, with China down 2/10 of 1%. European markets are trading higher
this morning, while US futures are flat. Stockpiles of nickel rose sharply
on Thursday.
Reuters morning - Copper at 3-week high on tight supply; euro zone weighs
-
more
LME Morning - Base metals track euro higher, remain susceptible to currency
fluctuations -
more
Base metals finished sharply higher yesterday, as the lingering after-effects
of Chairman Bernanke’s comments continued to pressure the dollar, forcing
it to slide to $1.3263 against the Euro -- a three-week low. Other markets
saw good gains as well; precious metals and US equity markets both finished
higher, with stocks putting together their best three-day gain since February
amid decent earnings reports. Bloomberg calculates that of the 239 companies
in the S&P 500 that have reported since mid-April, 75% have beaten estimates.
One group that is falling short are the big-name European banks, many of
whom are struggling in light of dwindling investment banking business and
light trading. Technicals also helped some of the metals advance yesterday.
In this regard, Reuters reports that COMEX copper moved through both the
100-day moving average at $3.72 per lb ($8,162 per ton) and the 200-day at
$3.76 ($8,225). .... Right now, markets are mixed, with base metals
recovering from early losses and now modestly higher, but precious metals
and energy are both down. The Euro is steady at $1.3230 and US stocks are
expected to open flat. Some of today’s buy-side momentum has been knocked
back on reports out late Thursday that S&P downgraded Spain’s credit
rating by two notches, citing “a challenging fiscal outlook”. S&P
cited the worse-than-expected deterioration of the country’s budget
and a growing likelihood that the government will need to provide aid for
the country’s banks that have been hit hard by mounting real estate
losses. If this was not enough, the government also reported today that Spain's
unemployment rate shot up to 24% in the first quarter, while retail sales
slumped for the twenty-first consecutive month. “Spain is in a crisis
of huge proportions," Foreign Minister Jose Manuel Garcia-Margallo said in
a radio interview. For his part, the country’s economy minister had
to again deny reports that the country was seeking outside help. “Nobody
has asked Spain, either officially or unofficially” to turn to
Europe’s bailout mechanisms, he said in an interview late yesterday.
“We don’t need it.” ..... In terms of US macro numbers, we
should get more clarity later today on first quarter GDP. (The consensus
estimate calls for an expected GDP increase of +2.6%). We suspect the reading
will likely come in either in-line or slightly weaker than expected, in which
case we should see the dollar continue to lose ground over the course of
Friday trading. This could provide somewhat more upside momentum to the base
metals group, although we would be wary about any kind of protracted run
given the fact that worries about Europe and slowing growth could collectively
trump any currency-induced rebound. ..... Nickel is at $18,330, up
$130. (complete report
here)
Commodity/Economic Comments
(Dow Jones) The nickel market will remain in oversupply for the next two
years, and producers should adjust output in order to support prices, analysts
with Macquarie Bank said in a report Thursday.
(Yieh) According to statistics, the stainless steel inventory totaled 205,327
tons during the second 10 days of April, decreasing by 2.58% from the previous
10 days.
(SBB) Tokyo asks Jakarta to rethink metal ore export ban
(Reuters) Commodities ended broadly higher on Thursday, with copper one of
the biggest gainers, after high claims for jobless benefits in the United
States fed expectations that the Federal Reserve may approve another U.S.
economic stimulus.
Forecasting National Recessions Using State Level Data -
more
Chinese traders
divided over near-term outlook for moly oxide prices - Chinese traders, the
largest spot molybdenum oxide suppliers in Asia, were divided Tuesday over
the direction in which prices would head in the near term. -
more
China's ferromoly
prices flat for fourth month despite pick-up in demand - Ferromolybdenum
prices in China remained flat at Yuan 121,000-125,000/mt ($19,209-19,844/mt)
Thursday, unchanged since the start of 2012 and only marginally above the
cost of production, despite a pick-up in demand from Chinese stainless producers
in April. -
more
Morning Nickel
Inventory and Price Statistics & Figures
Today's almost official prices
here / Yesterday's actual
LME official prices
here
or
here
Please let us know if any of these links stop working, stop carrying
info, or become available to subscriber's only. We encourage our readers
to use the services of those companies who supply reports and information
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Headlines & leaders - (Bloomberg) China Helps Finance First-Home Buyers
While Denying Speculators: Mortgages // China’s Stocks Drop as Earnings
Concerns Overshadow Possible Fed Stimulus // South Korean Growth Accelerates
Even as Europe Threatens Exports: Economy // Asian Stocks Rise for Second
Day After Bernanke Signals Stimulus If Needed // Euro-Area Confidence Declines
in Sign Region’s Slump Is Deepening: Economy // Deutsche Bank’s
First-Quarter Profit Declines 33% as Crisis Curbs Trading // Bernanke Signals
Further Fed Easing Unlikely as Economic Outlook Improves // Bernanke Rebuts
Krugman Criticism He Ignores His Own Advice on Deflation // More Americans
Than Forecast Submitted First-Time Jobless Claims Last Week // U.S. Stocks
Rise as Pending Home Sales Increase; Treasuries Trim Advance
The Euro is trading over 1/10 of 1% higher against the US Dollar. NYMEX crude
is up 4/10 of 1% and trading at $104.56/barrel. Gold is up nearly 9/10 of
1% while silver is 1-2/3% higher. Base metals ended their trading session
higher as well. Indictor charts show nickel only took a few breaks today
in an otherwise solid uptrend. For the day, Dow Jones reports three month
nickel closed at $8.26/lb
. Stockpiles
of nickel stored in LME approved warehouses fell slightly overnight and now
total just over 100,700 tonnes. Nickel is on a cyclical uptrend that, in
our opinion, most likely will not last very long. Base metals are getting
some forward momentum from copper as well. US corporate earnings continue
to impress and equity markets continue their bull run.
(Dow Jones) Vale's results should soon start to be positively affected by
the company's growing coal production in Mozambique and Australia and by
the start of exports of nickel oxide from the Goro project in New Caledonia,
which is now starting up, Ferreira said.
Indicators at 6:55 am CST show 3 month nickel trading around $.18/lb
higher, with other
London traded base metals higher as well. The Euro is trading only slightly
lower against the US Dollar. NYMEX crude futures are down over 1/10 of 1%
and trading at $104.00/barrel. Gold is trading 1/3 of 1% higher, with silver
up 2/10 of 1%. In overnight trading Asian markets ended higher, with China
up 2/10 of 1%. European markets are trading lower this morning, while US
futures are flat at the moment. Nickel stockpiles fell slightly on Wednesday.
Reuters morning - Copper highest in more than 2 weeks, demand eyed -
more
LME Morning - Base metals off highs remain higher on solid euro -
more
Metal prices finished in positive territory in relatively heavy volume yesterday,
with COMEX turnover pushing above 110,000 lots, 60% above the 30-day average,
this according to Thomson-Reuters data. A number of other commodity markets
also pushed higher, although energy was relatively restrained all day on
noises out of Iran that a possible breakthrough in the nuclear talks could
be in the offing. Metal prices did wobble off their highs briefly when the
Fed policy statement came out at noon yesterday, as investors were disappointed
by the absence of any wording that hinted at possible easing in the months
ahead. However, we did see a bit of a snap-back, particularly in gold, after
Chairman Ben Bernanke got his press conference under way. The Fed Chairman
emphasized that the central bank was ready to do more to help the US economy
if needed, saying “We remain entirely prepared to take additional balance
sheet actions as necessary to achieve our objectives. Those tools remained
very much on the table and we would not hesitate to use them should the economy
require that additional support”. Having said that, the time-line for
low rates seems to nearing its end; Fed surveys now show that seven governors
now believe it would be appropriate to raise rates some time in 2014, up
from five in January, while only four want to wait longer, down from six.
... Right now, we are higher in both base and precious metals, although energy
prices are down slightly. US stocks are expected to open lower after a relatively
sloppy performance in Europe, where equity markets are under pressure on
account of disappointing bank trading results and renewed concerns about
debt. In the latter regard, Italy sold 8.5 billion Euros of six-month bills
at a rate of 1.772%, up from 1.119% at the previous auction on March 28.
The yield on Spanish 10-year government bonds increased four basis points
to 5.81% and has not been much of factor today, but the deterioration in
Italian yields is arguably making up for it. ..... We doubt much will be
happening to day as the news cycle is relatively light, but we suspect that
Euro concerns and worries about slowing Chinese demand will likely reappear
as legitimate market concerns going into next week. .... Nickel is at $18,029,
up $425 and back over the $18,000 mark. (complete report
here)
Commodity/Economic Comments
(Yieh) According to statistics released by the Chinese customs, China exported
148,988 tons of stainless steel flat products in March, rising substantially
by 41.5% in comparison of 105,276 tons in February.
Economy still being buffeted, ministry warns -
more
Palladium, Nickel
Seen Gaining From China Consumption Shift - Aluminum, nickel, palladium and
gold may benefit from China’s shift toward consumption-driven growth
from an economy fueled by investment, while agricultural products are set
to lag behind, according to Barclays Capital. -
more
Vale: Profit down
44%, but 'worst over' in China - Brazil's Vale SA, the world's biggest iron-ore
producing company, saw first-quarter profits slump as heavy rains hit shipments
and iron ore prices sank on China's growth slowdown. -
more
Vale sees profit halved - Vale SA, the world's largest iron ore miner, said
on Wednesday that first-quarter profit fell by nearly half from a year earlier
because rains limited exports, prices for its main products fell and spending
on new mining projects rose. -
more
Vale says all
furnaces are back on after incident - Publicly-listed PT Vale Indonesia set
high expectations for the company’s newly installed electric furnaces
in Sorowako, South Sulawesi, after undergoing early repairs and consequent
upgrades following an incident involving angry locals last year. -
more
100 years
of stainless steel: Developed in Krupp’s research labs in Essen and
first patented in 1912 - Stainless steel is an indispensable part of our
everyday lives – at work, at home or at leisure. The foundations for
its global use were laid 100 years ago. -
more
Morning Nickel
Inventory and Price Statistics & Figures
Today's almost official prices
here / Yesterday's actual
LME official prices
here
or
here
Please let us know if any of these links stop working, stop carrying
info, or become available to subscriber's only. We encourage our readers
to use the services of those companies who supply reports and information
free of charge.Contact
us
Headlines & leaders - (Bloomberg) China’s Stocks Rise on Premier
Wen’s Pledge on Economy, U.S. Housing Data // India Investment-Grade
Debt Rating at Risk as S&P Cuts Outlook on Economy // Draghi Softens
Tone on Inflation, Risks ‘Broadly Balanced’ // Bonds Rally in Italy,
Spain While Bunds Drop as German Sale Misses Target // Merkel Backs
Draghi’s Call for Growth Focus to Combat European Debt Crisis // European
Stocks Climb for Second Day as Swedbank, Electrolux Lead Advances // Mad
Cow Case May Pose Little Threat to Demand for U.S. Feed-Crop Exports //Ex-BP
Worker Accused of Destroying 2010 Gulf Spill Texts // U.S. Companies From
Apple to 3M Beat Forecasts at Highest Rate Since 2010 // Housing Declared
Bottoming in U.S. After Longest Slump Since World War II // Fed Says U.S.
Economy Will ‘Pick Up Gradually’ as Policy Is Left Unchanged //
US Stocks Advance, Treasuries Fall as Fed Refrains From New Stimulus Actions
The Euro is trading slightly higher against the US Dollar. NYMEX crude futures
are trading over 1/4 of 1% higher and at $103.27/barrel. Gold is down slightly,
while silver is off more than 1-1/4%. Base metals ended the session mostly
higher. Indicator charts show nickel was trading choppy but going no where
early. Then US markets opened higher and nickel rose sharply. For the day,
Dow Jones reports three month nickel ended at
$7.99/lb. Stockpiles of nickel
stored in LME approved warehouses rose on Tuesday and now total just over
100,800 tonnes. This is the third time this month where LME has reported
total inventories rose over the 100,000 tonne level, only to fall back twice
prior. If it were not for favorable earnings reports, the news today would
be much less positive. The US Commerce Department reported orders for
long-lasting U.S. goods fell in March. The UK economy officially fell into
recession - again. And Fed Chairman Ben Bernanke is not expected to announce
any unpleasant surprises from the Federal Reserve when he speaks to reporters
in a few hours. Nickel got a little nudge today from an International Nickel
Study Group report that forecast nickel to be in a 50,000 tonne surplus this
year. That would typically be bad news for nickel traders, except this forecast
is lower than INSG made before.
Vital Signs: Deteriorating Euro Zone Output -
more
Morning
Briefing(8:00 AM CST
is 1PM in London)
Indicators at 7:00 am CST show 3 month nickel trading around $.06/lb
higher, with other
London traded base metals higher as well. The Euro is trading only slightly
higher against the US Dollar. NYMEX crude futures are up 7/10 of 1% and trading
at $104.25/barrel. Gold is up nearly 1/10 of 1% and silver is up nearly 2/10
of 1%. In overnight trading, Asian markets ended higher, with China up 8/10
of 1%. European markets are trading higher this morning, while US futures
are higher as well. Nickel stockpiles rose sharply on Tuesday.
Reuters morning - Copper steady ahead of Fed's meeting outcome -
more
LME Morning - Base metals resilient on strong euro, copper tightness strengthens
- more
Reports
US Imports of Stainless Steel Mill Products -
more
Metals pushed higher yesterday, with copper rising over 1% and partly reversing
Monday's sharp losses. A better tone in the European credit markets and a
firmer Euro combined to help the complex advance. Trading volume was heavy,
particularly on COMEX, where turnover was some 40% above the 30-day average.
Other markets were also stronger yesterday, with equities breathing easier
on account of relatively successful Dutch, Spanish, and Italian debt sales.
We are up across the board in most commodities again today, as the Euro has
pushed to a three-week high of over $1.32 on the back of Italian and Spanish
bond yields dropping for a second straight day. Most equity markets are also
up, with Apple’s solid results reinvigorating the technology stocks.
The company blew past earnings estimates yesterday despite offering lower
guidance for the current quarter. The stock is up some 5% in pre-market trading,
trading around $590. All eyes will be on the Fed policy statement out later
this afternoon and the Bernanke news conferences that follows. We suspect
that markets will push higher if the Fed tweaks enough of its language to
favor a more accommodative stance. Given that most economic numbers over
the past two weeks have been coming in somewhat under forecast, the central
bank may be inclined to do just that. We will have to see what happens; the
statement comes out at 2 p.m. US east coast time and Chairman Bernanke will
follow with a news conference at 2:15 p.m. .... We likely will
have a good day in most markets today, as investors should like what they
hear from the Fed. Whether this will likely be enough to last into next week
remains to be seen, as policy easing –or hints of it -- may only do
so much in terms of patching up things before investors again confront the
starker realities that cannot be remedied with easier money. We refer, of
course, to the more intractable problems of a Euro crisis that could re-emerge
practically at any time, while more problematic for metals, is the fact that
global economies seem to be slowing in synchronized fashion. ..... Nickel
is at $17,580, up $170. (complete report
here)
Commodity/Economic Comments
(Reuters) Finnish miner Talvivaara forecast nickel prices would be around
$20,000 per tonne in the long term, after reporting a quarterly operating
loss due to cheaper nickel.
(Dow Jones) The global nickel market could be in surplus by 50,000 metric
tons in 2012 as new mines come onstream, offsetting an on-year demand increase,
according to the International Nickel Study Group. Global refined nickel
production is expected to reach 1.69 million tons in 2012, up 5.6% from 2011,
the group said in a statement Tuesday. Output will rise as new capacity comes
into production and newly commissioned projects ramp up, it said. Global
consumption is forecast to total 1.64 million tons, up 4.5% from 2011.
(MBN) Most large US stainless steel producers have lowered their surcharges
for May due to falling nickel prices.
(Dow Jones) LCH.Clearnet Ltd., which clears trades for the London Metal Exchange,
said late Tuesday it will lower initial margins across the base metals
complex......Margins for nickel will drop to $2,403/ton, from $2,670/ton
.... LME Margin Rate Changes -
more
(Yieh) It’s reported that the European stainless producers including
Acerinox, ThyssenKrupp and Outokumpu have decided to cut the alloy surcharge
by 3.5% month on month for May, in response to lower nickel prices.
(ATA) The American Trucking Associations’ advanced seasonally adjusted
(SA) For-Hire Truck Tonnage Index rose 0.2% in March after increasing 0.5%
in February.
Vale Q1 net seen falling 45 pct on prices, volumes
- more
China's tax revenue growth hits three-year low -
more
China imports of
bauxite, nickel ores seen up in April - China's March data for bauxite and
nickel ore confirmed Chinese importers rushed to buy the two materials ahead
of a possible export ban in key supplier Indonesia and imports in April may
be even bigger. -
more
Vale's Production
Results For Q1-2012 = Only ferroalloys held on, otherwise dropped = Vale
of Brazil released on April 17 results of production and sales during the
first quarter (July - September) of 2012. Excerpts covering the production
results of manganese ore, ferroalloys, nickel and cobalt are as per the table
attached hereto. -
more
Mining Companies
in Global Talent War - Bruno Rizzuto’s father, Cesare, was 19 when he
got off a boat in Halifax from southern Italy in 1951. With no coat, and
“5 cents in his pocket” he headed for the gold mines of Timmins,
Ontario, where he worked underground for 41 years. -
more
Morning Nickel
Inventory and Price Statistics & Figures
Today's almost official prices
here / Yesterday's actual
LME official prices
here
or
here
Please let us know if any of these links stop working, stop carrying
info, or become available to subscriber's only. We encourage our readers
to use the services of those companies who supply reports and information
free of charge.Contact
us
Headlines & leaders - (Bloomberg) China Leading Economic Index Rises
at Slower Pace, Signals Growth Slowdown // Most Chinese Stocks Drop on Concerns
About Economy, Europe; Banks Advance // Australia’s Slower Inflation
Spurs Bets RBA to Resume Rate Cuts: Economy // Merkel Stands Firm on Crisis
Austerity, CDU Ally Altmaier Says // Human Genome Proving Most Lucrative
With Record Biotech Premiums: Real M&A // Weidmann Rejects as
‘Ridiculous’ Soros Claim Bundesbank Ready for Euro End // European
Stocks Rebound From Three-Month Low; Nordea, Kone Leads Advance // Fed
Interest-Rate Forecasts May Confuse Rather Than Clarify 2014 Outlook // Wal-Mart
CEO Says All Employees Accountable for Its Compliance Standards // Sales
of New U.S. Homes Declined in March to Pace That Exceeded Forecasts // Wal-Mart
Bribe Probe Follows Decade of Litigation for Sex Bias, Overtime // Stocks
Advance on Quarterly Earnings Reports, Home Sales; Treasuries Drop
The Euro is trading 1/3 of 1% higher against the US Dollar. NYMEX crude is
up 7/16 of 1% and trading at $103.55/barrel. Gold is up 2/10 of 1% and silver
is down 1/4 of 1%. Base metals ended the session higher - except for nickel.
Indicator charts show nickel opened higher, but spent the day in a choppy
down trend. For the day, Dow Jones reports three month nickel closed at
$7.89/lb
. Stockpiles
of nickel stored in LME licensed warehouses rose on Monday and now total
just shy of the 99,800 tonnes level. Although US economic reports were dismal
today, no matter how they are sugar coated, but corporate earnings were mostly
higher, so Wall Street is upbeat as well. Markets appear to be suffering
from Euro crisis fatigue and taking a day off from concerns. The Federal
Reserve is meeting today and their statement tomorrow will be watched closely.
Social Security Fund to Run Out in 2035, Trustees Say -
more
Morning
Briefing(8:00 AM CST
is 1PM in London)
Indicators at 6:55 am CST show 3 month nickel trading around $.05/lb
higher, with other
London traded base metals higher as well. The Euro is trading nearly 1/10
of 1% higher against the US Dollar. NYMEX crude futures are up 2/10
of 1% and trading at $103.32/barrel. Gold is up 2/10 of 1% while silver is
up 4/10 of 1%. In overnight trading, Asian markets ended higher, with China
down slightly. European markets are trading higher this morning, while US
futures are pointing higher as well. Nickel stockpiles grew on Monday.
Reuters morning - Copper back above $8,100, but caution persists -
more
LME Morning - Base metals step back, copper hit by profit-taking -
more
Reports
ThyssenKrupp Nirosta May Stainless Steel Surcharge -
more
Markets got hammered yesterday, with few places for the bulls to hide outside
of the safety of the dollar and top-graded US and German bonds. Base metals
fared the worst, as on top of Euro concerns, the complex had to contend with
nagging worries about Chinese demand and building local inventories. We have
opened slightly higher today as declining Spanish and Dutch 10-year yields
have calmed the markets somewhat. In addition, Moody’s said last night
that the collapse of the Dutch coalition over the budget impasse is a
“credit-negative” but the agency left its AAA rating intact for
the moment. .... In other markets, energy prices are flat, the Euro
is higher, now trading at $1.3145, while the precious metals group is up
as well, with gold recouping most of yesterday’s losses. US stocks are
expected to open up as well ahead of Apple’s earnings numbers, set for
release after the close today. (Q1 earnings are expected to be up 57% to
$10.04 billion on revenues of $36.8 billion). We also get the Case-Shiller
20 city index for February later today (expected at -3.4%), followed by April
consumer confidence readings (expected at 69.5, slightly lower than last
month) and March new home sales (expected at 320,000). .... Nickel is at
$17,650, up $100. (complete report
here)
Commodity/Economic Comments
(Interfax) China's imports of nickel ore and concentrate increased for a
second month in March ahead of Indonesia's ban on exports of nickel ore that
will start in May.
(Yieh) It is reported that the Islamic Republic of Iran has become the largest
producer of crude steel in the Middle East and Africa.
World's third largest stainless-steel scrap trading company again increases
turnover and generates EUR 850 million -
more
China Stainless
Steel Market In Apr - It is reported that Chinese stainless steel mills'
oversupply has been threatening the nearby countries. -
more
China NPI 2012 Output
Likely To Drop By 10% YoY = Indonesia's export ban on nickel ore is near
= It is becoming more likely that China's output of nickel-pig-iron (NPI)
during 2012 will drop, by more or less 10% compared to 2011, with a possibility
that 2013 output of NPI will be further less by 20% than 2011 output. -
more
Stakeholders meet
to review Ramu mine deal - The week-long Ramu nickel cobalt mine project
memorandum of agreement (MoA) review meeting between the state, Madang provincial
government, landowners and Ramu NiCo Ltd started in Mt Hagen yesterday. -
more
Stop-work order
issued - A Ministry of Labour inspector issued a stop-work order for First
Nickel's Lockerby Mine on Monday after a random inspection showed there were
problems with the No. 2 shaft. -
more
2 plead guilty to
stealing tons of nickel - Two men who operate a warehouse that stored nickel
briquettes imported through the Port of Baltimore have pleaded guilty to
a plot to steal tons of the metal and selling it. -
more
Environmental watchdog
sues Norilsk Nickel for $33 mln - The Krasnoyarsk Territory Commercial Court
has registered the environmental watchdog's $32.58 million lawsuit against
MMC Norilsk Nickel for environmental damage. -
more
Courtesy AISI - In
the week ending April 21, 2012, domestic raw steel production was 2,003,000
net tons while the capability utilization rate was 81.1 percent. Production
was 1,814,000 tons in the week ending April 21, 2011, while the capability
utilization then was 74.2 percent. The current week production represents
a 10.4 percent increase from the same period in the previous year. Production
for the week ending April 21, 2012 is up 1.4 percent from the previous week
ending April 14, 2012 when production was 1,975,000 tons and the rate of
capability utilization was 79.9 percent. -
more
Morning Nickel
Inventory and Price Statistics & Figures
Today's almost official prices
here / Yesterday's actual
LME official prices
here
or
here
Please let us know if any of these links stop working, stop carrying
info, or become available to subscriber's only. We encourage our readers
to use the services of those companies who supply reports and information
free of charge.Contact
us
Headlines & leaders - (Bloomberg) China Manufacturing Contraction May
Spur Further Monetary Easing: Economy // China May Ease Controls on Lending
Rates Before Deposits Move, Zhou Says // China’s Stocks Decline on
Manufacturing Report, ChiNext Rules // World’s Highest Stock Valuations
Show Japan Profits Recovering From Quake // Bundesbank’s Weidmann Says
What No Politician Wants to Hear During Crisis // Nestle Agrees to Buy
Pfizer’s Infant Nutrition Business for $11.9 Billion // Italy Consumer
Confidence Plunges to Record Low in April // Dutch Face Elections As Rutte
Seeks Majority for Measures // Weidmann Says ECB Monetary Policy Not Panacea
for Euro Region Debt Crisis // European Stocks Drop on Manufacturing Decline,
Dutch Impasse; ING Retreats // Companies More Upbeat on U.S. Economy, NABE
Survey Shows //Janet Yellen Reveals Twists With No Turns as Fed Policy Assesses
Expansion // Stocks Decline With Euro on Pushback Against Budget Cuts; Copper
Retreats
The Euro is trading 2/3 of 1% lower against the US Dollar. NYMEX crude is
down 1.6% and trading at $102.20/barrel. Gold is down 6/10 of 1% and silver
is off 3.6%. Base metals ended their session lower as well. Indicator charts
show nickel spent the day in a long steady down trend. Dow Jones reports
three month nickel ended the day at $7.96/lb
. Stockpiles
of nickel stored in LME approved warehouses fell below the 100,000 tonne
level for a second time this month, and now totals just over 899,600 tonnes.
Activity has slowed dramatically at the warehouses as cancelled warrants
have fallen as well. European and Chinese concerns overshadowed upbeat US
earnings reports and drove world markets lower today. HSBC Holdings
Plc and Markit Economics reported a reading of 49.1 for the China purchasing
managers’ index, compared with 48.3 in March. The same company reported
its survey of purchasing managers in Euro-area services and manufacturing
fell to 47.4 from 49.1 in March. Dutch Prime Minister Mark Rutte offered
to resign after failing to clinch an austerity deal, while French President
Nicolas Sarkozy lost the first round of his re-election bid. The US Dow
is off approximately 140 points at last check.
Number of the Week: Smaller Tax Refunds This Year -
more
Japan’s IMF Pledge Makes It No. 1 Fund Contributor -
more
Manufacturing States Post Drops in Unemployment -
more
When Factories Close, the Pain Lasts for Decades -
more
Planet Earth's Current-Account Deficit Grows 18% -
more
Morning
Briefing(8:00 AM CST
is 1PM in London)
Indicators at 6:55 am CST show 3 month nickel trading around $.05/lb
lower, with other
London traded base metals lower as well. The Euro is trading 6/10 of 1% lower
against the US Dollar. NYMEX crude futures are down nearly 9/10 of 1% and
trading at $102.99/barrel. Gold is down 3/4 of 1% while silver is off 2-1/4%.
In overnight trading, Asian markets ended lower, with China down 8/10 of
1%. European markets are trading lower this morning while US futures show
Wall Street could open down triple digits. Nickel stockpiles fell overnight.
Reuters morning - Copper falls as EU factory data, politics, weigh -
more
LME Morning - Base metals step back, copper hit by profit-taking -
more
Reports
China Imports and Exports of Base Metals in March 2012 -
more
Copper prices pushed higher on Friday, pulling the rest of the metals up
along with it on account of an unexpected rise in a German business sentiment
index reading and on news that IMF coffers would be boosted to the tune of
$430 billion. Most other markets pushed higher on Friday as well, helped
in no small part by the surging Euro which ran up to a two-week high of $1.32
despite rising Spanish yields, which topped 6% three times last week. However,
trading volume was light, with COMEX copper turnover hitting 68,600 lots,
down sharply from last week's record high of 127,276. Furthermore, Reuters
reports that LME open interest in copper fell to its lowest level in more
than two years. It’s a far different story today, with metals sharply
lower and wiping out all of Friday’s gains. Other complexes are also
off, with losses seen in energy, precious metals, and the Euro. US stocks
are expected to open lower as well, following sloppy equity sessions in both
Europe and Asia. Dow futures are pointing to a 120-point opening decline.
..... On the macro side, a number of statistics out earlier today have also
hurt sentiment, arguably more in metals than in any of the other commodities.
In this regard, the Germans reported that the country’s manufacturing
sector unexpectedly shrank at its fastest pace in nearly three years in April,
with Markit's manufacturing PMI index falling to 46.3 from March's 48.4.
"Reports are that sales to southern Europe are particularly weak, so there
is some evidence of troubles in the periphery (of the euro zone) spilling
over to the core," a Markit analyst told Reuters. A companion survey, however,
showed the pace of growth in German services increasing slightly to 52.6
from 52.1 in March. ..... Nickel is at $17,560, down $245, and struggling
once again. We are likely on track to test the recent low of $17,125. (complete
report here)
Commodity/Economic Comments
(Yieh) It’s reported that the construction of the world’s largest
stainless steel complex base was started in Wugang City in Henan Province.
It’s said that it will take 5 years to complete the construction
(Reuters) ANZ lowers gold, nickel price forecasts for Q2 2012
(Interfax) Despite clocking record steel output last month, China's share
of global production edged down as activity increased among steelmakers worldwide
amid higher prices and stronger demand during the peak season.
Mine to medal: Olympic medal journey at London show -
more
FeCr's
Dual Pricing Stirs Benchmark System (Part 2) = China's sharp rise in stainless
steel production is making a structural change over the ferrochrome market
= (Continued from Part 1) On the other hand in China, its domestic production
of ferrochrome is expected to sharply rise in the near future as it did with
stainless steel. -
more
Ramu NiCo confirms
report of ‘minor spill’ - Ramu nickel cobalt developer in Madang,
Ramu NiCo Management (MCC) Ltd has confirmed that there was a “minor
spill” of sodium hydroxide at its refinery plant in Basamuk last
Wednesday. -
more
Nickel miner
ponders court challenge - A High Court challenge to the carbon tax will centre
on a government decision that is likely to hand windfall carbon tax compensation
to BHP and cut that for Queensland's Yabulu nickel refinery owned by Labor's
arch-enemy, Clive Palmer. -
more
Rusal’s $43
Billion Seven-Year Glencore Deal Feeds Fued - United Co. Rusal, the world’s
biggest aluminum supplier, is locked in to selling $43 billion of the metal
to Glencore International Plc over seven years in a contract that’s
fueling a feud among billionaire investors, four people familiar with the
accord said. -
more
Morning Nickel
Inventory and Price Statistics & Figures
Today's almost official prices
here / Yesterday's actual
LME official prices
here
or
here
Please let us know if any of these links stop working, stop carrying
info, or become available to subscriber's only. We encourage our readers
to use the services of those companies who supply reports and information
free of charge.Contact
us
Headlines & leaders - (Bloomberg) China May Cut Reserve Ratio Without
Altering Stance on Inflation: Economy // Bo Ouster Threatens Model Easing
Wealth Gap in Largest China Municipality // China’s Stocks Rise, Capping
Weekly Advance, on Monetary, Fiscal Outlook // Economics 101 for Bank of
Japan Recommended as Takenaka Presses for Easing // German Confidence Gauge
Beating Forecasts Signals Stronger Growth: Economy // Europe Urged to Fight
Financial Crisis as G-20 Warns of Increased Stress // European Stocks Rise
as German Confidence Increases; Bank Shares Lead Gain // Mortgage-Tax Deduction
Curbed by Housing Slump as U.S. States Get Rewards // Nine U.S. Banks Said
to be Examined on Overdraft Fees // Recession Taught Profligate Americans
the Value of Savings Cache: Economy // Stocks Gain With Commodities, Euro
on Earnings, German Business Confidence
The Euro is trading 6/10 of 1% higher against the US Dollar. NYMEX crude
is up 1.5% and trading at $103.83/each. Gold is up less than 1/10 of 1% while
silver is 4.10 of 1% lower. Base metals ended higher today, after German
business confidence unexpectedly rose for a sixth straight month in April,
giving the Euro a boost. Indicator charts show nickel rose steadily thru
most of the day, until it crossed $18,000/tonne and fell back. For the day
and week, Dow Jones reports three month nickel closed at
$8.08/lb
. Stockpiles
of nickel stored in LME approved warehouses rose above the 100,000 tonne
level for a second time this month and currently total just shy of 100,100
tonnes. US markets are higher after strong earnings reports, German business
confidence rose, and rumors grow that China will take further measures to
stimulate its economy. Nickel ended $.23lb lower for the week.
CEO pay balloons to 380 times average worker's -
more
DJ China Sinosteel
Begins Trial Output At 80,000-Ton Ferronickel Plant -Association - Chinese
steelmaker Sinosteel Corp. has begun trial production at a major ferronickel
plant at its Sinosteel Binhai industrial base in Hebei province, a report
on the China Nonferrous Metals Industry Association's website said Thursday.
-
more
Morning
Briefing(8:00 AM CST
is 1PM in London)
Indicators at 6:55 am CST show 3 month nickel trading around $.07/lb
higher, with most other
London traded base metals higher as well. The Euro is trading over 1/3 of
1% higher against the US Dollar. NYMEX crude futures are nearly 6/10 of 1%
higher and trading at $102.85/barrel. Gold is up 1/10 of 1% while silver
is 2/10 of 1% lower. In overnight trading, Asian markets ended higher, with
China up 1/2%. European markets are trading higher this morning, and US futures
hint Wall Street may shake off two days of losses
LME Morning - Base metals stagnant, eurozone eyed as French presidential
elections loom -
more
Abbreviated commentary: It seems that while this writer was away at the ISRI
conference in over the past two days, not much has changed in terms of the
metal markets, which makes the job of catching up somewhat easier. .....
In terms of the business outlook, we got the impression from our various
meetings that demand in the was quite good. Most people we talked to have
had a decent 2011 and a strong start to 2012. However, some did report a
slower April compared to the first quarter, while almost all were wary about
the longer-term outlook, with US elections, slowing Chinese demand, and
uncertainty about the Euro clouding visibility. Right now, metal prices are
higher on reports out of that major economies will pledge more money to boost
the IMF. Although the amount involved has yet to be announced, Europe and
have already promised $320 billion, while emerging nations are now trying
to chip in an extra $100 billion, about in line with the $400 billion that
the Fund has requested. However, the money is not “in the bank”
just yet, and we suspect that these amounts will likely not be enough to
prevent “Euro jitters” from dissipating entirely, best reflected
in the fact that Spanish yields continue to remain high. .... (complete report
here)
Commodity/Economic Comments
(Yieh) According to statistics released by the American Iron and Steel Institute
(AISI), the output of austenitic stainless acquired 64.2% of the US’s
total stainless production in 2011, lower than the share of 68.1% in 2010.
(Interfax) Iron ore stockpiles at China's 30 major ports edged down this
week as steel prices leveled off after seven weeks of gains while iron ore
prices remained steady, discouraging new purchases, according to Shanghai-based
Mysteel Information.
Copper Traders Turn Bullish for First Time in Six Weeks -
more
(China) More policy easing on way to boost economy -
more
Ramu nickel cobalt
mine in production - After a number of setbacks, Ramu nickel cobalt mine
in Madang, has been commissioned and is now in production and nearing first
sales in coming months, according to partner, Highlands Pacific. -
more
FeCr's
Dual Pricing Stirs Benchmark System (Part 1) = As a result, ESKOM's power
buyback revealed growing fragility of the system = The long negotiations
for the benchmark price applicable to the shipments of charge chrome to Europe
during the Q2 (April - June) recently ended with an increase by US¢20/lb
Cr, which was a result of European stainless steel mills' compromise to accept
most of the proposed raise of US¢22 - 25/lb Cr by the South African
sellers based on the forecasted lower supply of charge chrome during the
quarter caused by ESKOM's power buyback program. Consequently the new benchmark
price for Europe rose to US¢135/lb Cr. -
more
BHP Colombia
nickel mine output up 72 pct - Nickel production in BHP Billiton Cerro Matoso
mine in Colombia rose 72 percent in the first quarter from the year earlier
thanks to the replacement of a furnace, the company said. -
more
POSCO expects
earnings to improve in second half - South Korea's POSCO, Asia's second-biggest
steelmaker, expects earnings to improve in the second half as a better global
economic outlook allows the company to ask for higher domestic product prices.
-
more
Global, China steel
output rises in March - Global crude steel production rose 1.8 percent to
132 metric million tonnes (145.5 million tons) in March, compared to the
same month last year, data from the World Steel Association showed on Friday.
-
more
Morning Nickel
Inventory and Price Statistics & Figures
Today's almost official prices
here / Yesterday's actual
LME official prices
here
or
here
Please let us know if any of these links stop working, stop carrying
info, or become available to subscriber's only. We encourage our readers
to use the services of those companies who supply reports and information
free of charge.Contact
us
Headlines & leaders - (Bloomberg) Geithner Calls China’s Widening
of Yuan Trading Band ‘Very Significant’ // China’s Central
Bank to Ensure Adequate Availability of Cash, Xinhua Says // World’s
Richest Are Worth $1 Trillion as Alwaleed Joins Billionaires Index //
Japan’s Fastest Export Growth in Year Boosts Outlook for Recovery: Economy
// Spain Joins France to Sell $17 Billion in Debt as Yields Rise // Hollande
Vows Minimum Wage Rise as Sarkozy Warns on Deficit // French Credit Risk
at Three-Month High // European Stocks Drop a Second Day as U.S. House Sales
Unexpectedly Decline // Google Seeks Billions by Boosting Mobile Internet
Speeds // Bush Tax Cut Armageddon Could Yield Better Tax Code // U.S. Jobless
Claims, Home-Sales Decline Show Recovery Moderating: Economy // Stocks in
U.S. Decline on Jobless, Home-Sales Data as French Bonds Retreat
The Euro is now trading slightly higher against the US Dollar. NYMEX crude
is over 1/10 of 1% lower and trading at $102.54/barrel. Gold is down nearly
1/10 of 1% while silver is 6/10 of 1% higher. Base metals ended their session
mixed and mostly higher. Indicator charts show nickel opened higher, spent
most of the first 2/3 of the session in a slide, then falling, spiking, and
falling again in very choppy and volatile trading. For the day, Dow Jones
reports three month nickel closed at
$7.98/lb. Stockpiles of nickel
stored in LME approved warehouses rose on Wednesday and now total just over
99,750 tonnes. After spending the last few weeks in the 6-7% range, cancelled
warrants have fallen to the mid 4% range, reflecting a slowdown in nickel
purchases. US markets are lower today with economic reports coming out lower
than expected and European concerns not going away. Corporate profits are
still coming out better than expected, so market has underlying support.
Why the Wealthy Are Worried About the Economy -
more
Indonesian Ore
Export Ban to Boost Nickel, Norilsk Nickel Says - Indonesia’s planned
ban on exports of unprocessed metal ores may push nickel prices higher and
revive production at idled mines, according to Norilsk Nickel. -
more
BRIC Countries
To Drive Global Steelmaking To Record High in 2012 - MEPS predicts global
steel output at 1625 million tonnes this year. This equates to a rise of
over 80 million tonnes (5.4 percent) compared with 2011. -
more
Morning
Briefing(8:00 AM CST
is 1PM in London)
Indicators at 7:00 am CST show 3 month nickel trading around $.03/lb
higher, with other
London traded base metals mixed and mostly quiet. The Euro is trading nearly
3/10 of 1% lower against the US Dollar. NYMEX crude futures are flat and
trading at $102.68/barrel. Gold is down 4/10 of 1% while silver is off nearly
6/10 of 1%. In overnight trading, Asian markets ended higher, with China
down over 1/10 of 1%. European markets are trading slightly higher this morning
and US futures show Wall Street will try to shake off yesterday's drop. Nickel
stockpiles grew on Wednesday as in and outbound shipments slow dramatically.
LME Morning - Base metals climb slightly but eurozone concerns cap gains
-
more
(Yieh) According to statistics, the crude stainless steel output made by
7 major Japanese stainless producers totaled 281,560 tons in February, down
slightly from a month earlier.
Talvivaara posts operating loss, lower production guidance -
more
(JS) According to statistics, the stainless steel inventory totaled 157,791
tonnes in Chinese Foshan market in end of March 2012, decreasing by 6.04%
from a half month earlier
Rio Tinto more confident on commodities outlook -
more
(Reuters) China's steel companies made a loss of around 1 billion yuan ($158.69
million) in the first quarter compared with a profit of 25.8 billion yuan
a year ago, an official with the China Iron & Steel Association (CISA)
said on Wednesday.
(SM) The American Forest & Paper Association released its March 2012
U.S. Paperboard Report today. Total boxboard production decreased by 3.6%
compared to March 2011, but increased 3.9% from last month.
Japan Imported
Ferroalloy Market Report April 13, 2012 = Increased scrutiny by Chinese customs
against the roundabout trade causing a bit of stir in the market = Market
outlook in Japan of the imported ferroalloys as of April 13, 2012 is as follows:
-
more
Miners From
Australia Wary of Impending Rules in Indonesia - Australian miners are concerned
about the impact of the Indonesian government’s new mining sector policies,
which include a plan to ban exports of unprocessed metal ores and a required
divestment of mining operation stakes by foreign investors. -
more
Morning Nickel
Inventory and Price Statistics & Figures
Today's almost official prices
here / Yesterday's actual
LME official prices
here
or
here
Please let us know if any of these links stop working, stop carrying
info, or become available to subscriber's only. We encourage our readers
to use the services of those companies who supply reports and information
free of charge.Contact
us
Headlines & leaders - (Bloomberg) China Home Prices Fall in More Than
Half of Cities Tracked as Curbs Remain // North Korea Breaks Off Nuclear
Accord as Food Aid Halted // China’s Stocks Rise Most in Two Months
on Policy Speculation, IMF Forecast // Asian Stocks Rise as IMF Raises GDP
Forecast, Spain Debt Sale Beats Target // Soaring Spanish Bad Loans Cast
Doubt on Public Cost of Propping Up Banks // Spanish Banks Gorging on Sovereign
Bonds Shifts Risk to European Taxpayers // Russia Said to Halt Syrian Arms
Supplies After U.S. Pressure // German Government Bonds Outperform Peers
on Euro Debt Crisis Safety Demand // Soaring Spanish Bad Loans Cast Doubt
on Public Cost of Propping Up Banks // European Stocks Decline; Repsol, Santander
Lead Losses in Spanish Shares // Jobs Data Simultaneous Release at Risk as
U.S. Review Spurs Restrictions // Tyson, Cargill Hurt by ‘Pink Slime’
Ahead Grilling Season // Fannie Mae Proposal Is Said to Include U.S. Safety
Net for Home Mortgages // Stocks Fall on Intel’s Results as Treasuries
Advance, Crude Oil Declines
The Euro is now trading just under 1/10 of 1% against the US Dollar. NYMEX
crude futures are off 1-2/3% and trading at $102.46/barrel. Gold is trading
6/10 of 1% lower, while silver is 8/10 of 1% lower. Base metals ended the
session mostly lower, with only zinc ending flat. Indicator charts show nickel
traded choppy all day, tumbling late. For the day, Dow Jones reports three
month nickel closed at $8.00/lb. Stockpiles of nickel
stored in LME approved warehouses rose on Tuesday and now total just over
99,600 tonnes. Markets appear to be jittery as traders await the results
from tomorrow's Spanish bond auction. In the nickel and stainless industry,
the only real news is the ongoing saga of the Indonesian ban on ore exports
and when exactly, this will happen.
(MB) The Indonesian Nickel Association is suing the government over plans
to ban raw material exports from May 6, sources told Metal Bulletin.
Occupy the Buttonwood Tree: The 99% in 1765 -
more
Small-Business Owners, Banks Blame Washington for Credit Woes -
more
Why Richard Koo’s idea won’t save the Eurozone -
more
Vital Signs: Warm Weather Fuels Home Improvement -
more
Small Miners
in Indonesia Need to Team Up With Smelters: Government - Small miners in
Indonesia, a major producer of raw materials, need to team up with larger
firms investing in smelters to avoid a 2014 ban on raw mineral exports, a
government official said on Tuesday. -
more
Doomsday Is the Theme as Nickel Miners Meet in Bali - While students and
unions protested a proposed fuel subsidy cut in the capital and other cities
across the country on Thursday, a small group of nickel miners gathered on
Bali to voice their own concerns. -
more
Morning
Briefing(8:00 AM CST
is 1PM in London)
Indicators at 7:00 am CST show 3 month nickel trading around $.01/lb
higher with other London
traded base metals lower. The Euro is trading 4/10 of 1% lower against the
US Dollar. NYMEX crude futures are up 1/10 of 1% and trading at $104.11/barrel.
Gold is down 1/2 of 1% and silver is off 2/3 of 1%. In overnight trading,
Asian markets ended higher, with China up over 2-1/4%. European markets are
trading lower this morning, while US futures show Wall Street may open lower.
Nickel stockpiles rose on Tuesday.
Reuters morning - Copper gains on China equities rise; Europe caution -
more
Bloomberg morning - Copper Advances for Second Day on Demand Expectations
-
more
LME Morning - Eurozone uncertainty dogs market, base metals mixed -
more
(MN) The world’s largest iron ore producer Vale has attributed a 15%
quarter-on-quarter drop in iron production to high rainfall impacting on
its Brazilian operations.
(TA) BHP Billiton missed production forecasts for the March quarter at its
rain and strike-hit Queensland coking coal mines, and today warned that
industrial action would have a big impact on performance.
(Yieh) Reportedly, Chinese stainless steel mills’ oversupply has been
threatening the nearby countries. According to the latest statistics, the
capacity utilization rate of the Chinese stainless facilities was only at
61.3%, caused by surged output and weak demand. Facing the fierce price
competiveness from cheap import, Tang Eng, one of the major stainless steel
mills in Taiwan has been mulling to file the antidumping investigation against
the cheap imports from China and South Korea.
(Interfax) China plans to cut taxes on domestic iron ore in a bid to put
pressure on import prices and reduce costs for its beleaguered steel industry,
an official with the Ministry of Industry and Information Technology (MIIT)
told the at 2012 International Iron Ore Market Seminar in Qingdao on Tuesday.
(Dow Jones) Dafeng Port Group Co., a port operator in eastern Jiangsu province,
is investing $420 million to build a ferronickel plant in Indonesia, Jiangsu's
Yancheng City Development and Reform Commission said on its website Wednesday.
-
more
(China) Home prices decline in most cities in March -
more
(SM) The American Forest & Paper Association released its March 2012
U. S. Containerboard Statistics Report today. Containerboard production gained
2.5% over the same month last year.
Indonesia Readies
Ban on Unprocessed Metal-Ore Shipments - Indonesia, Southeast Asia’s
largest economy, will proceed with a plan to ban exports of unprocessed metal
ores including bauxite from next month, while confirming an exemption for
producers that intend to treat output locally. -
more
Indonesia Readies Ban on Unprocessed Metal-Ore Shipments - Indonesia will
proceed with a plan to ban exports of unprocessed metal ores including bauxite
from next month, while confirming an exemption for producers that intend
to treat output locally. -
more
Molybdenum Tax Increase
Could Spark Higher Imports In China - The new tax rate for molybdenum is
the first increase since January 1st, 2006 and is spread across five different
categories of mines; from class one at the high end to class five at the
lowest. -
more
Mincor increases
nickel mine output - Nickel miner Mincor Resources has reported a lift in
third quarter output and says it is on track to meet its full year production
targets. -
more
Vale fined
for New Caledonia acid spill - New Caledonia’s appeal court has fined
the Vale nickel company 5,000 US dollars over an acid spill at its Goro plant
three years ago. -
more
China's Imports
Of Raw Materials In February 2012 -
more
Growth Levels Off
in March - March shipments of aluminum and steel were only slightly changed
in both the United States and Canada. Inventory positions also remained nearly
constant in both countries. -
more
Morning Nickel
Inventory and Price Statistics & Figures
Today's almost official prices
here / Yesterday's actual
LME official prices
here
or
here
Please let us know if any of these links stop working, stop carrying
info, or become available to subscriber's only. We encourage our readers
to use the services of those companies who supply reports and information
free of charge.Contact
us
Headlines & leaders - (Bloomberg) China’s Foreign Direct Investment
Drops for Fifth Month on Slowing Economy // China Added to its Treasury Holdings
in February as Japan’s Stake Climbed // India Lowers Interest Rates
More Than Estimated to Stoke Growth: Economy // Japan to Provide $60 Billion
to IMF to Boost Crisis Resources, Azumi Says // Rio Tinto’s Iron Ore
Production Misses Analyst Estimates // Spain Sells More Bills Than Planned
With Borrowing Costs Rising at Auction // German Investor Confidence Unexpectedly
Climbs to Two-Year High: Economy // Euro Area March Inflation Rate Higher
Than Estimated on Energy, Transport // European Stocks Climb Most Since December
on Spanish Debt, German Economy // Short Sales Surpass Foreclosures as Banks
Agree to Deals // U.S. Factory Production Cools for the First Time Since
November: Economy // Stocks, Commodities Advance on Spanish Debt Auction,
IMF Growth Forecasts
The Euro is trading over 1/10 of 1% lower against the US Dollar. NYMEX crude
is up nearly 1.6% and trading at $104.55/barrel. Gold is down over 1/10 of
1% and silver is 2/3 of 1% higher. Base metals ended the session mostly higher.
Indicator charts show nickel rose early, and after spiking to around $18,000
tonne, fell $250/tonne in a few minutes, before returning to its trend. For
the day, Dow Jones reports three month nickel closed at
$8.09/lb
. Stockpiles
of nickel held in LME licensed warehouses fell on Monday and now totals just
over 98,850 tonnes. US reports were disappointing but you couldn't tell that
from the reaction of the equity markets today. In fact, any bad news is being
ignored in light of strong earnings reports and easing concerns about Spain.
US housing starts fell sharply, and industrial production stalled for a second
month in March. But with the Dow trading nearly 200 points higher and the
FTSE ending up over 100 points, nickel fought to turn positive today. Inbound
and outbound activity at LME registered warehouses remains higher than normal.
Vital Signs: Consumers Gloomier on Current Conditions -
more
Courtesy AISI - In
the week ending April 14, 2012, domestic raw steel production was 1,975,000
net tons while the capability utilization rate was 79.9 percent. Production
was 1,814,000 tons in the week ending April 14, 2011, while the capability
utilization then was 74.2 percent. The current week production represents
a 8.9 percent increase from the same period in the previous year. Production
for the week ending April 14, 2012 is up 0.9 percent from the previous week
ending April 7, 2012 when production was 1,958,000 tons and the rate of
capability utilization was 79.2 percent.
Morning
Briefing(8:00 AM CST
is 1PM in London)
Indicators at 6:55 am CST show 3 month nickel trading around $.13/lb
higher, with other
London traded base metals mixed and mostly higher. The Euro is presently
trading slightly lower against the US Dollar. NYMEX crude futures are trading
7/10 of 1% higher against the US Dollar. Gold is trading slightly higher
and silver is up nearly 4/10 of1%. In overnight trading, Asian markets ended
lower, with China down 1-1/4%. European markets are trading higher this morning,
with US futures higher as well. Stockpiles of nickel fell on Monday.
Reuters morning - Copper steadies after fall; supply in spotlight -
more
LME Morning - Most metals track euro off lows but tin slips to fresh three-month
low -
more
Reports
SMR Monthly Stainless Steel Briefing - All downhill from now? -
more
SSINA Releases Market Data for January 2012 -
pdf here
Metals ended slightly lower yesterday, although tin and nickel fared the
worst, with each losing a whopping $850/ton on the day. There were sizable
declines in Brent oil prices and some of the grain markets as well, while
the Euro weakened early on before snapping back late in the day, likely on
a bout of short-covering. There is no doubt that the bullish mood in the
commodity markets has soured, as more investors begin to question the upside
potential going into 2012. In fact, Bloomberg ran a story yesterday to this
effect, pointing out that money managers lowered net-long positions across
18 U.S. futures and options exchanges by 9.3% in the week ending April 10th,
their biggest reduction since December. Copper COMEX holdings tumbled 84%,
its biggest drop in six months. It’s not difficult to see why the bullish
appetite for commodities is starting to wane. In addition to worries about
another potential flare-up in the Eurozone, markets are also watching
developments in China with justifiable concern, given how prominent a buyer
the country has become in a number of commodity markets over the years.
..... In other news, Reuters reported yesterday that Glencore
is thought to be holding a dominant long position in the copper market, as
LME data showed one entity controlling 50-80% of combined cash contracts
and inventories. Dealers say that Glencore is facing off against Chinese
speculators, who have taken short positions. In the meantime, backwardations
are flaring out, with the premium of cash to three’s trading at $75
per ton yesterday, the highest since October 2008, while April/May is at
$42. It is not certain when these backs will start to ease, as canceled warrants
continue to rise, while LME inventories have resumed declining. Finally,
we present below the latest Reuters poll survey results for both this year
and next on the various LME metals: The table can be accessed through our
report... Nickel is at $17,827, up $322, and making up a portion of
yesterday’s steep plunge that took prices to $17,500; charts continue
to look poor. (complete report
here)
Commodity/Economic Comments
(Yieh) Reportedly, Taigang Stainless, the largest stainless producer in China
announced to cut the list prices of its stainless steel products by another
RMB200~RMB600/ton for May deliveries, in response to weak nickel prices and
sluggish demand.
(Interfax) The increased volatility of the renminbi after China widened the
currency's daily trading band against the dollar will curb demand for copper
as collateral in offshore yuan trading, reducing imports and weighing on
global prices of the metal, Myyouse analyst Wang Yu told Interfax Tuesday.
(China) Costs, shrinking demand squeezing exporters -
more
Japan Crude SUS
Production Almost Unchanged; February 2012 = Maintaining the level of total
production of the preceding month = Crude stainless steel production in February
2012 by the 7 major Japanese stainless steel mills was 281,560 tons, only
marginally down from January. Although there were some ups and downs by mill
among the seven, total monthly production of February was unchanged from
January. -
more
Nickel and
ferrochrome prices diverge - Power of supply-side economics shows in nickel
and ferrochrome markets with Xstrata having curbed ferrochrome output by
425000 tons. -
more
Citi Bullish On Nickel,
Gold, Palladium; Bearish On Copper, Silver - Citigroup Inc said Monday that
it's bullish on nickel, gold, and palladium and bearish on copper and silver
following its latest revision to commodity price forecasts between 2012 and
2014. -
more
Filipino priest
wins international environment award - Filipino priest Edwin Gariguez has
been named one of the winners of The Goldman Environmental Prize award over
his anti-mining advocacies, particularly in the island of Mindoro. -
more
What If 2007 Was
the Commodities Cycle Peak? - As we layer price plots of the credit bubble
peak in 2007 over stock and commodity charts we cannot help but wonder whether
we might not already have seen the peak of commodity prices for some years
to come. -
more
Morning Nickel
Inventory and Price Statistics & Figures
Today's almost official prices
here / Yesterday's actual
LME official prices
here
or
here
Please let us know if any of these links stop working, stop carrying
info, or become available to subscriber's only. We encourage our readers
to use the services of those companies who supply reports and information
free of charge.Contact
us
Headlines & leaders - (Bloomberg) China Widening Yuan Band Signals Confidence
in Expansion After Bo Ouster // Yuan Drops Most in a Week, Tracking Asia
Losses, as Trading Band Doubles // Hedge Funds Cut Commodity Bets on Slowing
China Growth // India’s Inflation Exceeds Estimates, Limiting Room for
Interest Rate Cuts // Euro Area to Seek Bigger IMF War Chest as Concerns
Over Spanish Debt Mount // Euro Weakens Below $1.30 for First Time in Two
Months on Crisis Concern // Rajoy Says Spain Must Act More Quickly Than He
Had Envisaged When Elected // Home Sellers Across U.K. Sought Record Prices
on Supply Shortage: Economy // European Stocks Advance as International Power
Shares Climb on Stake Sale // No Double-Dip Deja Vu Seen for U.S. Economy
Amid Resilience Missed in 2011 // U.S. Retail Sales Rise More Than Forecast
on Improving Job Market: Economy // Treasuries Gain as Spanish 10-Year Bonds
Decline, S&P 500 Index Fluctuates
The Euro is now trading slightly higher against the US Dollar. NYMEX crude
si down 1/3 of 1% and trading at $102.47/barrel. Gold is trading over 1/2
of 1% lower, while silver is down 4/10 of 1%. Base metals ended their week
opening session mixed, with nickel and tin getting hit rather hard. Indicator
charts show nickel opened lower, did little for much of the session, before
plunging late. For the day, Dow Jones reports three month nickel closed at
$7.94/lb
. Stockpiles
of nickel stored in LME approved warehouses rose on Friday and now totals
just over 99,300 tonnes. Activity in the warehouses was heavy, with two large
receipts being offset by two withdrawals. Nickel closed below the $8/lb level
for the first time this month - that only happening on two occasions last
month. Stockpiles saw a near 950 tonne gain today, but still remain below
the psychological 100,000 tonne level. European and US equity markets are
higher today, as positive earnings and economic news overshadows Spanish
debt concerns. The debt problem has not gone away however, so we might see
a volatile week on world markets.
Real Estate Drags on China Growth, Domestic Consumption Is Bright Spot -
more
Papua New
Guinea halts controversial nickel mine - for now - A massive, controversial
nickel mine has been shut down in Papua New Guinea due to the environmental
concerns of its slurry pipeline, reports Cultural Survival. -
more
Morning
Briefing(8:00 AM CST
is 1PM in London)
Indicators at 7:00 am CST show 3 month nickel trading around $.08/lb
lower, with other
London traded base metals mixed. The Euro is trading 4/10 of 1% lower against
the US Dollar. NYMEX crude futures are down 1/3 of 1% and trading at
$102.47/barrel. Gold is down 2/3 of 1% and silver is down over 1/10 of 1%.
In overnight trading, Asian markets ended higher, with China down 1/4 of
1%. European markets are trading higher this morning, while US futures are
higher at the moment. Nickel stockpiles rose sharply on Friday.
Reuters morning - Copper at 3-mth lows; stalked by China, eurozone -
more
LME Morning - Base metals off lows but eurozone jitters weigh -
more
Reports
Robry Monday Morning Economic Assessment -
pdf here
Copper prices punched below the $8,000 mark for the first time in three months
on Friday, as disappointing GDP data out of China weighed on the metals group
and other complexes as well. For the week as a whole, copper was off some
4%, among the worst performers in the CRB index. In addition, the selling
occurred in heavy volume, with Friday's COMEX turnover nearly two-thirds
above the 30-day average, this according to Reuters data. Despite the fact
that other Chinese macro indicators outside of the GDP numbers were either
in line or slightly ahead of estimates, investors nevertheless latched onto
the main reading and concluded that the country is now undoubtedly on a slowing
growth spiral. The question now raging among China-watchers is just how long
and how deep will this slowdown run; we have gone on record as saying we
suspect the deceleration will be deeper and last longer than the conventional
forecasts have it, meaning that the metals outlook for the balance of the
year will be restrained at best. In addition to China, worries over Spain
hung heavy over the markets on Friday, bashing the Euro and sending it to
a low of about $1.3070. Prices for Spanish default swaps jumped to a record
high as government attempts to reassure investors with austerity measures
and revised tax collection procedures seemed to be falling flat. ....
Finally, price forecasts from the latest Reuters poll have come out showing
that on average, analysts expect copper prices to hit $8,445 a ton in 2012
and increase to $8,818 in 2013. Meanwhile, analysts surveyed expect aluminum
to average $2,250 a ton this year, with a market surplus seen at 445,000
tons. The nickel market is forecast to have a surplus of 36,000 tons in 2012,
with cash nickel prices seen averaging $19,988. We will present the full
results in tomorrow’s report. .....Nickel is at $18,091, down $219,
and struggling; charts suggest a further probe lower, perhaps down to the
low to mid-$17,000 mark. (complete report
here)
Commodity/Economic Comments
(Reuters) Poll-LME Cash Nickel To Average $19,988/T in2012, $20,414 in2013,
vs January Forecast of $19,875 for 2012, $21,200 for 2013
(Yieh) According to the data of China Iron & Steel Association (CISA),
Chinese steel industry faced big losses in the first quarter due to high
raw material costs and slow demand.
(CNW) Liberty Mines Ships First Batch of Nickel Concentrate Since Re-Starting
Operations
(MR) A large nickel reserve, estimated at more than 20Mt, has been found
in the northern Mozambican province of Cabo Delgado.
(SBB) PT ANTAM Tbk announced that it has switched on the FeNi II ferronickel
smelter following the completion of its optimization program.
Citi Bullish On Nickel,
Gold, Palladium; Bearish On Copper, Silver - Citigroup Inc said Monday that
it's bullish on nickel, gold, and palladium and bearish on copper and silver
following its latest revision to commodity price forecasts between 2012 and
2014. -
more
Nickel-absorbing
plant to be featured in agri forum - An indigenous plant capable of absorbing
nickel will be the showcase of Agri-Entrepreneurs’ Forum and Techno
Clinic of the 42nd Annual Scientific Conference of the Crop Science Society
of the Philippines (CSSP) scheduled on April 16 to 21 in this city. -
more
Morning Nickel
Inventory and Price Statistics & Figures
Today's almost official prices
here / Yesterday's actual
LME official prices
here
or
here
Please let us know if any of these links stop working, stop carrying
info, or become available to subscriber's only. We encourage our readers
to use the services of those companies who supply reports and information
free of charge.Contact
us
Headlines & leaders - (Bloomberg) China’s Less-Than-Forecast 8.1%
Growth May Signal Easing // North Korean Rocket Disintegrates in Setback
for Kim’s Four-Month-Old Rule // Singapore GDP Rebound Prompts Faster
Currency Gains on Inflation Concerns // ECB Seen Favoring Bond Purchases
Over Three-Year Loans as Crisis Deepens // Spanish Bank Borrowing From ECB
Soared Almost 50% in March to Reach Record // Spanish Default Risk at Record
as Rajoy Struggles to Avoid Bailout Stigma // European Stocks Decline as
Chinese Economic Growth Slows; Bank Shares Drop // Fed Rift Over Interest
Rate Outlook Widens Amid Signs Job Market Cooling // Consumer Sentiment in
U.S. Eases as Employment Growth Diminishes: Economy // Stocks, Copper Fall
as Treasuries Rise After China’s Economic Growth Slows
The Euro is now trading 8/10 of 1% lower against the US Dollar. NYMEX crude
is down 6/10 of 1% and trading at $103.03/barrel. Gold is trading 6/10 of
1% lower while silver is down 2.7%. Base metals ended the session lower.
Indicator charts show nickel opened lower and trended lower throughout the
session, but considering the weakness in the Euro, it held up pretty well.
For the day and week, Dow Jones reports three month nickel closed at
$8.31/lb. Stockpiles of nickel
stored in LME approved warehouses fell slightly on Thursday and now total
just under the 98,400 tonne level.
The US Has the Highest Share of Employees in Low Wage Work -
more
Ind. rivers, streams
have worst pollution in nation - The amount of pollution in Indiana’s
rivers and streams is greater than any other state’s in the country,
according to a study recently released by Environment America Research and
Policy Center. -
more
Morning
Briefing(8:00 AM CST
is 1PM in London)
Indicators at 6:55 am CST show 3 month nickel trading around $.06/lb
lower, with other
London traded base metals lower as well. The Euro is trading 2/10 of 1% lower
against the US Dollar. NYMEX crude futures are down nearly 1/10 of 1% and
trading at $103.57/barrel. Gold is down 2/10 of 1% while silver is down 1/3
of 1%. In overnight trading, Asian markets ended higher, with China up nearly
4/10 of 1%. European markets are trading lower this morning, while US futures
show Wall Street is unhappy about China missing GDP estimates for the first
quarter. Nickel stockpiles fell slightly on Thursday.
Reuters morning - China March copper, aluminium output near record -
more
LME Morning - Metals easier, China's slowing GDP puts skids on sentiment
-
more
Reports
US Imports of Stainless Steel Mill Products -
more
Metals soared yesterday, with copper finishing 2% higher on the day in heavy
volume, as COMEX turnover ran at more than 50% above the 30-day norm, this
according to Reuters data. All other metals pushed higher as well, as did
a host of other commodities. In fact, fourteen of the nineteen commodity
complexes in the CRB index were up by 1% or more, led by nickel (up 4%).
Even natural gas, which we wrote about in yesterday's commentary, finally
managed to break a multi-day losing streak to finish with a good gain. In
the equity markets, US stitched together their best two-day advance so far
this year. A weaker dollar and talk from two Fed governors that the central
bank would remain accommodative into 2014 triggered yesterday’s
across-the-board advance. Ironically, the disappointing U.S. jobless claims
data was also interpreted positively, as it reinforced the notion that the
Fed would remain easy for far longer. Impressive as yesterday’s run
was in metals, we are now rolling back most of these gains in the aftermath
of the long-awaited Chinese macro numbers, released overnight. In this regard,
the government reported that China's GDP expanded by 8.1% from a year earlier,
the smallest amount in almost three years, and coming in well below the 8.3%-8.4%
rate expected. .... Nickel is at $18,509, down $191, and giving up some of
yesterday’s impressive run higher. Resistance remains at $18,700. (complete
report here)
Commodity/Economic Comments
(Yieh) According to statistics, the stainless steel inventory totaled 157,791
tons in Chinese Foshan market in end of March, decreasing by 6.04% from a
half month earlier
(Interfax) China's crude steel production grew 10.2 percent month-on-month
in March to hit a record high of 61.58 million tons on the back of higher
steel prices and increased demand, according to data released Friday by the
National Bureau of Statistics (NBS).
Indonesia finmin
sees mining export tax rule by June - Indonesia will issue a mining export
tax regulation by June, the country's finance minister said on Friday, showing
the government is pushing ahead with a policy that is worrying resource firms.
-
more
Antam Switches
On Feni II Smelting Plant - PT ANTAM is pleased to announce it has switched
on the FeNi II ferronickel smelter following the completion of its optimization
program. -
more
BHP CEO: some
processing operations under pressure - BHP Billiton Ltd. Chief Executive
Marius Kloppers said Thursday that some of its minerals processing operations
are under pressure from softening prices and high costs. -
more
Miners strike
out against MRRT with advertising campaign - The mining industry has broken
its advertising truce with the Gillard government, launching a pre-emptive
strike against potential tax rises aimed at the resources sector in next
month's budget.-
more
Japan FeNi 2011
Production Down 17% YoY = PAMCO down 31% due to forced curtailment by
Earthquakes/Tsunami = Japan's ferronickel production in 2011 (calendar year)
was 56,300 tons (of nickel content unless stated otherwise, an estimate),
down by 16.6% from 67,520 tons produced in 2010. -
more
Nickel
Asia’s Q1 shipment drop 16% to P1.66 billion - Nickel Asia Corporation
on Thursday said the value of its shipments in the first quarter dropped
by 16 percent to P1.66 billion, reflecting the decline in world nickel prices.
-
more
Morning Nickel
Inventory and Price Statistics & Figures
Today's almost official prices
here / Yesterday's actual
LME official prices
here
or
here
Please let us know if any of these links stop working, stop carrying
info, or become available to subscriber's only. We encourage our readers
to use the services of those companies who supply reports and information
free of charge.Contact
us
Headlines & leaders - (Bloomberg) China Growth Seen at Slowest Since
’09 With Wen Revival Due This Quarter // Top Forecasters See Copper
Advancing Even With China Slowing: Commodities // China’s Stocks Rise
Most in 2 Months on Monetary Policy Easing Speculation // Indonesia Extends
Pause in Interest-Rate Cuts as Inflation Risks Persist // Sony to Cut 10,000
Jobs in Hirai Plan to Revive Consumer-Electronics Maker // Italy Borrowing
Costs Rise on Concern Spain’s Woes Reigniting Debt Crisis // Spain Calls
State Set-Up Excessive as Bill Tightens Regions’ Budget Rules // European
Stocks Gain for Second Day as Fed Indicates Rates Will Remain Low // Broadest
Bull Market Since 1990 Masked by Apple Adding 8% to S&P 500 Index //
Romney Camp Woos Women While Stumbling on Equal Pay // IMF’s Lagarde
Says Europe Remains Main Risk to Economy as U.S. Strengthens // U.S. Jobless
Claims Reach Two-Month High in Sign of Slower Hiring: Economy // Stocks in
U.S. Advance While Dollar, Yen Weaken Amid Stimulus Speculation
The Euro is trading over 1/2 of 1% higher against the US Dollar. NYMEX crude
futures are up 9/10 of 1% and trading at $103.61/barrel. Gold is 1.1% higher,
while silver is up 2.9%. Base metals traded higher today, as borrowing costs
fell in Europe, alleviating some debt concerns. Indicator charts show nickel
spent the day in an uptrend, spiking late in the session. For the day, Dow
Jones reports three month nickel closed at
$8.48/lb. Stockpiles of nickel
stored IN LME approved warehouses fell on Wednesday and nw total just under
98,450 tonnes. Nickel made the Wall Street Journal today, and the title of
their article is "Indonesian Ban Could Be Turning Point for Nickel" (see
below). Stockpiles took a second consecutive big hit today, and BNP announced
"A sustained structural nickel surplus is still forecast but is no longer
a foregone conclusion". Stockpiles appear to be disappearing as customers
and/or investors snap up nickel at what they apparently hope is a bargain
price. With so much uncertainty surrounding the Indonesia situation, markets
could remain volatile as traders try to outsmart the market.
(Dow Jones) U.S. nickel exports rose 18.4% in February from the previous
month, and was up 64.5% from the previous year, the Commerce Department reported
Thursday.
(Dow Jones) U.S. nickel imports rose 9.9% in February from last month, and
was up 18.7% from the previous year, the Commerce Department reported Thursday.
Incentives Where Workers Pay Taxes to the Boss -
more
Nickel surplus still
likely but no longer guaranteed: BNP Paribas - A sustained structural nickel
surplus is still forecast but is no longer a foregone conclusion, investment
bank BNP Paribas said in a research note Thursday. -
more
Morning
Briefing(8:00 AM CST
is 1PM in London)
Indicators at 6:55 am CST show 3 month nickel trading around $.05/lb
higher, with other
London traded base metals higher as well. The Euro is trading nearly 1/2
of 1% higher against the US Dollar. NYMEX crude futures are up over 1/2 of
1% and trading at $103.28/barrel. Gold is down 4/10 of 1% while silver is
lower by the same margin. In overnight trading, Asian markets ended higher,
with China up 2%. European markets are trading higher this morning, while
US futures point to a higher opening. Nickel stockpiles fell hard for a second
consecutive day.
Reuters morning - Copper up as ECB comments ease Euro debt worries -
more
LME Morning - Metals steadier as rebound continues, cut gains with sentiment
nervy -
more
Metals steadied somewhat yesterday after six European countries sold debt
without much of a glitch, adding a measure of stability to the credit markets.
The closely watched Italian auction was mixed, in that although short-term
yields moved higher, (double what they were a month ago), the full allocation
was taken out. The German auction, on the other hand, was somewhat sloppier,
as investors did not take up their full allotment. Ten-year Spanish bonds
did better, with yields declining by 10 basis points to 5.88% and backing
away from the critical 6% mark. The calmer conditions were enough to reinvigorate
the Euro, which managed to trade above $1.31 for most of the session. Other
markets were also firmer, with good gains seen in US equities and energy,
although gold and silver both lost ground. The markets continue to show signs
of stabilizing right now, with most metals higher, led primarily by copper
and zinc. Energy is also up slightly and the Euro remains steady, now at
$1.3140 and at a one-week high. However, European credit markets are somewhat
on the defensive, with the Wall Street Journal reporting that Italian short-term
yields rose yet again at an auction held today, although longer-term 10-year
yields dropped a tad to 5.57% from 5.64%. ..... Out of the US, the Fed’s
“Beige Book” report released Wednesday afternoon was quite decent,
revealing that the economy continued to expand at a modest to moderate pace
from mid-February to late March, with good gains noted in the automotive
and high-technology sectors. Manufacturers expressed optimism about near-term
growth prospects, although many were concerned about rising energy prices.
Mining activity expanded and oil extraction rose, but natural gas drilling
slowed. Banking conditions were stable, with some improvement seen in loan
demand. Hiring was steady, and although it was reportedly difficult to find
highly-skilled workers, upward wage pressures remained constrained. .....
Nickel is at $18,221, up $121. Charts are looking slightly better, although
the short-term downtrend remains intact and won't be taken out unless we
break through $18,700. (complete report
here)
Commodity/Economic Comments
(Yieh) It’s reported that the many stainless producers in China have
continued to reduce the production in April due to weak prices in domestic
spot market.
(Interfax) Baosteel's prices for major steel products will remain unchanged
in May, the leading Chinese steelmaker said Thursday, though analysts expect
market prices may stop climbing next month and could start to edge downwards.
(MB) Spot nickel ore prices in Chinese have begun to slip this week, after
going unchanged for nearly two months, due to weak demand and increased supply.
(FAN) The authorities in the city of Fuan in China's Fujian Province are
planning to establish a super stainless steel industrial park located at
the juncture of the Wanwu and Xiabaishi peninsulas.
Commodities Will ‘Drift Lower’ as Stimulus Ends, UBS Says -
more
BHP won't carry loss-makers: Marius Kloppers -
more
Indonesian
Ban Could Be Turning Point for Nickel - Nickel prices have taken a battering
recently, tumbling almost 20% on the London Metal Exchange since early February.
-
more
Indonesia's
industry minister wants mining export tax soon - Indonesia should quickly
impose a tax on mining exports, the industry minister said on Thursday in
comments likely to worry miners in the world's top exporter of thermal coal
and refined tin. -
more
Japan Ni-Alloyed
SUS Scrap April Price Down Yen5,000 = Reflecting the continued weak trend
of LME nickel price = The domestic price of nickel-alloyed stainless steel
scraps (new clippings) for April deliveries was agreed to start with lowering
it by Yen5,000/ton from the price for March, making it Yen145,000/ton delivered
as most prevailing. -
more
Morning Nickel
Inventory and Price Statistics & Figures
Today's almost official prices
here / Yesterday's actual
LME official prices
here
or
here
Please let us know if any of these links stop working, stop carrying
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Headlines & leaders - (Bloomberg) IMF Said to Be Ready to Reduce Forecast
for China Current-Account Surplus // China’s Aluminum Demand to Expand
at 8-10% Annually, Novelis CEO Says // China Stocks Rise to 2-Week High as
Developers Gain; Chongqing Shares Drop // Japan Machinery Orders Unexpectedly
Increase in Boost to Economic Recovery // ECB’s Coeure Indicates Bank
May Buy Spanish Debt to Reduce Borrowing Costs // Rajoy Says Spain’s
Future Is at Stake as Crisis Forces Decision on Regions // Annan Warns of
‘Unimaginable’ Outcome to Syria Conflict // Italy Sells 11 Billion
Euros of Bills as EU Crisis Concerns Boost Yields // European Stocks Rebound
From Two-Month Low; Banks, Carmakers Lead Advance // Profit Drop at U.S.
Banks Jeopardizes 2012 Share Rally as Loans Trail GDP // U.S. Labor Market
Boosted by ‘IP-Intensive’ Industries Reliant on Patents // Stocks
Rebound as Alcoa Beats Estimates; Spanish Bonds Advance With Euro
The Euro is now trading 1/4 of 1% higher against the US Dollar. NYMEX crude
is up 1-3/4% and trading at $102.78/barrel. Gold is down 1/10 of 1% and silver
is down 9/10 of 1%. Base metals ended the session quietly, and except for
tin and nickel, higher. Indicator charts show nickel opened in the cellar,
and spent much of the day climbing. For the day, Dow Jones reports three
month nickel ended the day at $8.21/lb. Stockpiles of nickel
stored in LME licensed warehouses fell on Tuesday and after five business
days over the 100,000 tonne level, stockpiles now total just over 99,300
tonnes. Euro concerns eased today, and Alcoa's earning's impressed; thus
equity markets are higher today. After five consecutive declines, the Dow
needed a rebound session, and is getting it. Metals are looking for a direction,
with economic concerns overshadowing. After looking strong on a down trading
day yesterday, nickel looked weak today, although it did spend the session
trying to claw its way out of the basement.
Commodity/Economic Articles and Comments
Fed ‘Hawk’ Wants Rate Hike This Year or Next -
more
Look To U.S. In The 1930s For Housing Policy, IMF Says -
more
Bankruptcy costs and America’s household debt crisis -
more
Clean project
of NORNIKEL - The Mining and Metallurgical Works NORNIKEL, the world’s
largest producer of nickel and palladium, and also one of the world’s
main producers of platinum and copper, is launching a unique environmental
project. -
more
Morning
Briefing(8:00 AM CST
is 1PM in London)
Indicators at 6:55 am CST show 3 month nickel trading around $.03/lb
lower, with other
London traded base metals mixed and quiet. The Euro is trading nearly 1/2
of 1% higher against the US Dollar. NYMEX crude futures are up 1/3 of 1%
higher and trading at $101.37/barrel. Gold is down nearly 2/10 of 1%, while
silver is lower by 1/2 of 1%. In overnight trading, Asian markets ended lower,
with China closing slightly higher. European markets are trading higher this
morning, and US futures show Wall Street may get an early morning bounce
as well. Nickel stockpiles fell on Tuesday.
Bloomberg morning - Copper Rises as Chinese Car Sales, Japanese Orders Top
Estimates -
more
Reuters morning - Copper steadies near $8,000 on growth worries -
more
LME Morning - Base metals mixed, copper and aluminium claw back losses but
all remain jumpy -
more
Metals were walloped yesterday, with copper falling to a three-month low
and taking out key bottom-of-the range support at $8150. There were broad
declines in the rest of the LME group as well, along with heavy selling in
a host of other commodity markets, except for gold and silver, both of which
took on the “flight-to-safety” role alongside the US dollar and
a surprisingly resurgent yen. We were not surprised by yesterday’s downside
move in copper, as the various props that have been holding up the market
for over the last few months are starting to list badly. Most significant,
is the recent turn in LME stocks, which have now actually risen by about
8,500 tons over the last four days, coinciding with a similar rising trend
in last week’s Shanghai figures. More importantly, concern about overall
Chinese demand is growing, and the trade numbers out yesterday did little
to assuage these fears. Although copper imports were decent, the rise in
local Chinese copper stockpiles coupled with softer premiums, suggest that
a good portion of this metal is being channeled into stockpiling arrangements
as opposed to getting consumed. another variable that unnerved the markets
yesterday, and one which we frankly think will get worse before it gets better,
is the worsening situation in the European credit markets. In this regard,
Spanish ten-year yields briefly crossed the critical 6% threshold yesterday
before settling at 5.93%. In addition, Italian 10-year yields were up 0.31%
to 5.67%, while the yield premium on 10-year Spanish and Italian government
bonds over German bunds widened to over 4%. .... For the moment, things look
calm, but we could see the selling in most markets pick up if the Europeans
again find themselves scrambling to get ahead of the next debt crisis. Greece
may be done for now, but we have to quickly brush up on what is going on
with Spain..... Nickel is at $18,067, down $108, and about where we were
at this time yesterday, with the short-term downtrend line still in place.
(complete report
here)
Commodity/Economic Comments
(Merafe) Shareholders of the Company are advised that the European benchmark
ferrochrome price has been settled at $1.35 per pound for the second quarter
of 2012, an increase of 17% from the $1.15 per pound price in the first quarter
of 2012.
(Yieh) Reportedly, Taiwan’s stainless steel major players, Yieh United
Steel Corp (Yusco) and Tang Eng are planning to team up for an anti-dumping
complaint against Chinese and South Korean's commercial grade stainless steel
coils import into Taiwan.
Commods funds face Q2 dilemma as recovery stutters -
more
Nickel
stocks poised for an upturn: Desjardins - Nickel is often nestled in
the shadows of better-known metals such as copper and gold, but Desjardins
Securities Inc. believes the silvery-white lustrous commodity is where the
buying opportunity lies for investors right now.
- more
Q2 Price
For Charge Chrome Agreed With One European Mill = At US¢135/lb Cr; European
benchmark yet to be agreed officially = According to some sources of information
in Europe, an agreement was made between a South African ferrochrome producer
and a European stainless steel mill on the price to be applied to the shipments
during the second calendar quarter of 2012 to be increased by US¢20/lb
Cr from the first quarter benchmark price of US¢115/lb Cr ddp. -
more
Morning Nickel
Inventory and Price Statistics & Figures
Today's almost official prices
here / Yesterday's actual
LME official prices
here
or
here
Please let us know if any of these links stop working, stop carrying
info, or become available to subscriber's only. We encourage our readers
to use the services of those companies who supply reports and information
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us
Headlines & leaders - (Bloomberg) One-Buck Budweiser Means Luxury in
China Where Beer Costs 30 Cents: Retail // China Reports Unexpected Trade
Surplus in March as Imports Slow: Economy // China’s Stocks Rebound
in Last Hour as Trade Data Spurs Policy Speculation // Russia Demands Syria
Enact Troop Pullout Under Annan Plan // Bank of Japan Keeps Policy Unchanged
After Lawmakers Reject Board Nominee // Japan Closer to Restarting First
Reactors Since Fukushima // Spain’s Planned $13 Billion Budget Cuts
Fail to Prevent Bond Yields Rising // Top Forecasters See Euro Weakness Returning
as Spain Misses Budget Target // Franc Approaches SNB’s Euro Limit as
Debt Crisis Spurs Demand for Refuge // Norway Killer Deemed Sane in Reversal
of Mental Evaluation // European Stocks Retreat After U.S. Jobs Report as
Italian Banks Lead Drop // Bernanke Pushes for Shadow Banking Curbs With
Warning Recovery Not Secure // Profit Growth Stalling in U.S. as Slowdowns
in Europe, China Hurt Recovery // Principal Forgiveness May Save Fannie,
Freddie $1.7 Billion, DeMarco Says // U.S. Job Openings Rose in February
as Hiring Hit Three-Year High: Economy // Stocks Drop With Spanish Bonds
on European Debt Concern as Treasuries Gain
The Euro is trading just over 1/10 of 1% lower against the US Dollar. NYMEX
crude is down 1.3% and trading at $101.13/barrel. Gold is up nearly 1% and
silver is down 3/10 of 1%. Base metals ended their session lower as well.
Indicator charts show nickel opened much lower today, then took a dive, before
recovering back to nearly where it opened. For the day, Dow Jones reports
three month nickel closed the day at $8.24/lb
. Stockpiles
of nickel store in LME approved warehouses fell last Thursday and now total
just over the 100,000 tonne level. A renewal in European debt crisis concerns,
coming on the back of last Friday's disappointing employment report, has
put markets in a very negative mood, with the volatility index jumping back
over the 20 level. Nickel got beat up today, but not as bad as some other
base metals.
More Americans think It’s a Good Time to Buy a Home -
more
US March Employment Trends Index Dips -Conference Board -
more
Fukushima to Burn Highly-Radioactive Debris -
more
Chinese traders
divided over near-term outlook for moly oxide prices - Chinese traders, the
largest spot molybdenum oxide suppliers in Asia, were divided Tuesday over
the direction in which prices would head in the near term. -
more
Morning
Briefing(8:00 AM CST
is 1PM in London)
Indicators at 6:55 am CST show 3 month nickel trading around $.14/lb
lower, with all London
traded base metals lower as well. The Euro is trading nearly 2/10 of 1% lower
against the US Dollar. NYMEX crude futures are down 2/3 of 1% and trading
at $101.79/barrel. Gold is 1/3 of 1% higher while silver is 4/10 of 1% lower,
In overnight trading, Asian markets ended lower, with China closing 1% higher.
European markets are trading lower this morning, with US futures slightly
higher at the moment. Nickel stockpiles fell over the holiday break.
Reuters morning - Copper at 1-mth low; nerves fray on China demand -
more
LME Morning - Base metals retreat as economic outlook sours -
more
Investors were blindsided on Friday after the US Labor Department reported
that US employers added only 120,000 jobs in March, the fewest in five months
and well short of the 200,000 expected. The unemployment rate fell to 8.2%
from 8.3%, but this was not necessarily indicative of a substantial improvement
in the job market, but likely on account of fewer people looking for work.
A subsequent release out later in the day showed that US consumer borrowing
rose by its smallest amount in four months. About the only positive with
respect to Friday’s macro release was the fact that the markets were
closed that day for the Easter break, and so, investors had a long weekend
to mull over its implications. The extra time, however, did little to stave
off the inevitable reaction; markets that re-opened on Monday sold off sharply,
with COMEX copper, WTI prices, and US equities all down on the day. The dollar
lost ground against both the Euro and the yen, while US bonds soared. European
markets remained closed on Monday, but are making up for lost time and are
broadly lower right now. In our markets, the LME group opened with modest
losses in early Asian trading, but the selling picked up after Chinese import
data was released. In this regard, the government reported that the country
returned to an export-led trade surplus of $5.35 billion in March, a surprise
reversal from February's $31.5 billion deficit. There was a solid 10.4%
year-on-year bounce in export sales to the US, but the overall import number
gave the markets some pause, growing only 5.3% year-over-year (vs. the 9%
forecast) and clearly reflective of sluggish domestic demand. For the first
quarter as a whole, total Chinese exports and imports were in rough balance,
coming in at $430.02 billion and $429.35 billion, respectively. ..... We
do not have much to add to what we have been writing in previous commentary;
we suspect the path of least resistance is likely lower still for a number
of commodity markets in light of both the deteriorating credit situation
in Europe, coupled with growing expectations that the US recovery may be
showing signs of topping out. Chinese growth also remains an issue, and if
anything, this morning’s trade numbers underline the chronic
underperformance of the country’s consumption sector compared to its
still-critical export base. ..... Nickel is at $18,068, down $337, and with
the short-term downtrend (red line in our chart) still in place. ...... AMM
reports that US nickel premiums continue to fall, with both melting and plating
grade material now hitting multi-year lows, as suppliers hold out for large
volume deals. Melting-grade premiums have dropped to between 20 and 29 cents
per pound from between 20 and 30 c/lb previously, while plating-grade premiums
have sunk to between 50 and 65 c/lb. from between 55 and 75 c/lb. "Demand
from stainless in China and Europe has been sluggish. We could go a little
higher if this Indonesian export ban is really imposed but otherwise, it
doesn’t look like prices are going to be great this year," one analyst
told the paper. (complete report
here)
Commodity/Economic Comments
(Yieh) Brazilian miner Cia Ferro Ligas da Bahia (Ferbasa) said in a statement
that it will raise the prices of high carbon ferro-chrome by US$1.35/lb.
for the second quarter. The increase is about 17.4% than the first quarter
and will be a basis for negotiation between the company and their clients.
Small Business Confidence Drops After 6 Months of Increases -
more
(China) First-quarter home prices down 20.7% in capital -
more
Metals: Searching
for direction - One year ago, Stockholm-based Raw Materials Group (RMG) forecast
that a basket of base metals (copper, nickel, lead and zinc) and precious
metals (gold, silver, platinum and palladium) would continue to recover from
the global financial crisis. -
more
China
to cut SA chrome imports - China's all-important stainless-steel makers are
to reduce purchases of imported South African ferrochrome, turning to cheaper
Chinese alloy producers who use imported, unprocessed chrome ore. -
more
Japan SUS
Products February Imports - Drop Drags = 13% drop from January; imports from
all major sources declined = The Japan Iron and Steel Federation compiled
the import statistics released by the Ministry of Finance into the table
attached hereto with regard to the imports of stainless steel products during
February 2012. -
more
Philippines
risks dropping off mining map - Unstable policies have long kept the Philippines
off the radar screens of global miners but Manila’s move to rewrite
mining rules risks putting the country further off the grid. -
more
Prime Minister
Vladimir Putin holds working meeting with head of Norilsk Nickel Vladimir
Strzhalkovsky - The main topic for discussion was on how to improve the
environmental situation in Norilsk. In addition, the prime minister wanted
to know how a series of social issues at the enterprise were being addressed.
-
more
Rusal Appoints
Legal Team to Advise on Sual Arbitration - United Co. Rusal, the world’s
biggest aluminum producer, said it hired legal counsel to advise on arbitration
brought by Sual Partners Ltd. to overturn trading contracts with Glencore
International Plc. -
more
Russian tycoons' feud over RUSAL comes to UK court - A feud between two Russian
billionaire shareholders in UC RUSAL, the world's biggest aluminium maker,
will be aired in a London court, the company said on Tuesday, with a $47
billion supply deal in the balance. -
more
Courtesy AISI - In
the week ending April 7, 2012, domestic raw steel production was 1,958,000
net tons while the capability utilization rate was 79.2 percent. Production
was 1,814,000 tons in the week ending April 7, 2011, while the capability
utilization then was 74.2 percent. The current week production represents
a 7.9 percent increase from the same period in the previous year. Production
for the week ending April 7, 2012 is up 3.1 percent from the previous week
ending March 31, 2012 when production was 1,900,000 tons and the rate of
capability utilization was 76.9 percent.
Morning Nickel
Inventory and Price Statistics & Figures
Today's almost official prices
here / Yesterday's actual
LME official prices
here
or
here
Please let us know if any of these links stop working, stop carrying
info, or become available to subscriber's only. We encourage our readers
to use the services of those companies who supply reports and information
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us
Monday, April 9
The London
Metal Exchange is closed for Easter Monday.
Headlines & leaders - (Bloomberg) China’s March Consumer Prices
Rise 3.6% From Year Earlier // China May Be Cautious on Adding Stimulus After
Inflation Picks Up: Economy // China’s Stocks Drop to One-Week Low as
Faster Inflation Damps Rate Outlook // Sony to Cut 10,000 Jobs Worldwide,
6% of Workers, Nikkei Says; Shares Rise // Japan’s Current Account Swings
to Surplus, Adding Support for the Currency // Russia Leaves Key Rate Unchanged
on Mounting ‘Medium-Term’ Inflation Risks // France’s Veolia
Swaps Flag Investor Faith in Debt Plan: Corporate Finance // Italy Vies With
Spain for Investor Funding as ECB Boost Fades: Euro Credit // AOL to Sell
$1.1 Billion of Patents to Microsoft, Return Cash to Investors // Employment
Growth Seen Rebounding From Slump With U.S. Recovery Entrenched // US Stocks
Decline With Treasury Yields as U.S. Labor Report Misses Estimates
The Euro is trading nearly 1/4 of 1% higher against the US Dollar. NYMEX
crude is down 1.8% and trading at $101.44/barrel. Gold is over 8/10 of 1%
higher while silver is up over 1/4 of 1%. No reports from London today on
BDI numbers, inventory numbers, or base metals trading. London markets will
return tomorrow after a four day Easter holiday. US markets are lower today,
as traders react to Friday's dismal employment report. Base metals trading
could benefit by being closed during this correction, as much of the dust
could be settled by the time markets open tomorrow morning.
Commodity/Economic Articles and Comments
Number of the Week: How Long Before Job Seekers Give Up? -
more
Consumers Cut Credit-Card Debt, Add to Auto and Student Loans -
more
Economists React: Hitting ‘Pothole’ in Road Back to Strong Growth
-
more
Indicators at 7:00 am CST show 3 month nickel not trading due to a holiday
in London. The Euro is trading nearly 2/10 of 1% lower against the US Dollar.
NYMEX crude futures are down 1-1/2% and trading at $101.77/barrel. Gold is
up nearly 6/10 of 1% while silver is lower nearly 4/10 of 1%. In overnight
trading, Asian markets ended lower, with China down 1%. European markets
are mostly closed and US futures show Wall Street may react negatively to
last Friday's employment report.
(Yieh) It's reported that Philippine Oriental Peninsula Resources Group indicated
to triple the nickel ore production this year due to regional increasing
demand. The Group Chairman indicated that a subsidiary, the City Nickel Mine
Development Company will lift up the nickel output this year to 3 million
tons from previous 1 million tons.
(SKRIN) Russian stainless steel exports rose 51.4%
(Interfax) Baoshan Iron & Steel Co. Ltd. (Baosteel), the listed arm of
China's leading steelmaker Baosteel Group, expects to be in the black in
the first quarter and maintains an optimistic outlook for the industry in
the second half, the general manager Ma Guoqiang said April 5.
Hedge Funds Cut Wagers as Fed Signals Less Stimulus: Commodities -
more
March jobs report: Hiring slows, Unemployment falls -
more
India will emerge
a big market for stainless steel - We want to bring the latest products to
Indian customers. But at times we get entangled in anti-dumping issues. -
more
Asian Market
Of Ni-containing Cold Stainless Sheets Enhancing Further Wait-and-see Stance
- A wait-and-see attitude of each customer on the Ni-containing cold-rolled
stainless steel sheets in the Asian area is felt to have been strengthened
further as prices of material nickel fell below $8 per pound in late March.
With this, negotiations become quiet. -
more
China Mo Jan/Feb
Imports/Exports Both Go Low = Export down by 40%, imports down by 29% compared
to the same period of 2011 = China's molybdenum trade was quiet during January
and February. -
more
Health fears over
nickel plant proposal - Campaigners against plans to build a nickel processing
and recycling plant fear their health could be at risk. -
more
Metals Service Center
Shipments Momentum Increases - February shipments of aluminum and steel from
metals service centers were up sharply from February 2011 in the U.S. and
Canada, according to the Metals Service Center Institute. -
more
Morning Nickel
Inventory and Price Statistics & Figures
Today's almost official prices
here / Yesterday's actual
LME official prices
here
or
here
Please let us know if any of these links stop working, stop carrying
info, or become available to subscriber's only. We encourage our readers
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us
Headlines & leaders - (Bloomberg) China’s Stocks Rise Most in Two
Months on Prospect of Foreign Fund Inflows // Taiwan’s Stocks Slump
Most in Five Months on Tax Concern // German Industrial Output Shrink More
Than Forecast in February on Weather // Portugal Says Some Municipalities
May Be Forced to Restructure Their Debt // Spain Rattles European Markets
as Investors Flee to Francs, German Bonds // Manufacturing in U.K. Unexpectedly
Drops in Sign of Uneven Growth: Economy // European Stocks Advance as Mining
Companies Climb Amid Decline for Banks // Announced U.S. Job Cuts Fell 8.8%
in March From Year Ago, Challenger Says // Four Fed Regional Bank Presidents
See Reduced Need for Additional Stimulus // Consumer Confidence Hits Four-Year
High on U.S. Job-Market Gains: Economy // Stocks Reverse Earlier Losses as
Commodities Climb on U.S. Labor Optimism
The Euro is now trading over 6/10 of 1% lower against the US Dollar. NYMEX
crude is up 1.4% and trading at $102.90/barrel. Gold is up over 1/2 of 1%
and silver is up 1-1/3%. Base metals shrugged off the lower Euro today and
all ended higher. Indicator charts show nickel slumped early, then began
a climb that lasted through the rest of the session. For the day, Dow Jones
reports three month nickel closed at $8.35/lb
, recovering
nearly all of yesterday's loss. Stockpiles of nickel stored in LME approved
warehouses fell on Wednesday and now total just under 100,150 tonnes. With
little other news to talk about, analysts are a buzz with speculation on
what impact the 2014 Indonesia ban of nickel ore will have, what impact the
threatened 25% Indonesia tax might have, and when all this will actually
take place. There are reports the China is importing as much laterite ore
from Indonesia as it can in the mean time. With so many questions swirling
around the situation, the price of nickel is getting a boost, albeit a
speculative one. Considering the weakness in the Euro, nickel trading looked
very resilient. The London Metal Exchange is closed for Good Friday today
so our next update will be Monday.
Vale seeks nickel
near Repulse Bay - World's second-largest nickel mining company plans exploration
this year - Vale - the second largest nickel producer in the world - plans
to begin looking for nickel this year on the Melville Peninsula near Repulse
Bay, Nunavut. -
more
Morning
Briefing(8:00 AM CST
is 1PM in London)
Indicators at 7:00 am CST show 3 month nickel trading around $.04/lb
higher, with other
London traded base metals trading mixed. The Euro is trading nearly 1/2 of
1% lower against the US Dollar. NYMEX crude is up nearly 1/2 of 1% and trading
at $101.91/barrel. Gold is up 1/3 of 1% and silver is flat. In overnight
trading, Asian markets ended lower, with China up nearly 2-1/2%. European
markets are trading lower this morning, and US futures are lower at the moment.
Nickel stockpiles fell on Wednesday.
Reuters morning - Copper little changed; restrained ahead of holiday -
more
LME Morning - Base metals slide on softer euro, debt contagion fears stoked
and US stimulus hopes dashed -
more
Markets plunged yesterday, ending weeks of relative complacency as investors
spent a second full day discounting the ramifications of Tuesday’s Fed
policy minutes that apparently shut the door on further easing. Copper fell
more than 3%, its biggest decline in nearly two months and there were widespread
losses in the rest of the LME group as well. In other complexes, gold and
platinum each slipped roughly 3.5% on the day, while silver gave back a whopping
6.6%, the biggest loss in the CRB index by far. US equities and crude oil
also retreated, with WTI sinking to its lowest level since mid-February.
On the currency front, the growing unease in the European credit markets,
evidenced by Wednesday’s sloppy Spanish bond auction, catapulted the
dollar to a high of $1.31 at one point, almost 2.5 Euros higher than the
low reached the day before. The greenback also gained strength after ECB
President Mario Draghi said the Eurozone outlook was subject to further downside
risks that could emanate from the debt crisis. Right now, metals are mixed.
Copper is up slightly, but the rest of the group is showing slight losses.
Gold is up $13/ounce and may be perking up on realizations that potential
debt troubles in Europe could actually revive interest in the metal, just
as it did during the tension-packed fourth quarter off last year. Energy
prices are also higher, but the Euro is struggling, now trading at $1.3070.
US stocks are called to open lower again following down sessions seen in
the other equity markets. .... Moreover, we are also concerned that the US
recovery may be showing signs of “topping out”. Although we are
not seeing any significant deterioration in the US macro numbers just yet,
it should be noted that the recent batch of statistics have not been beating
estimates as handily as they once were. In this regard, apart from Monday’s
ISM-manufacturing reading, the balance of this week’s reports (construction
spending, factory orders, the ISM-services readings and the ADP private payroll
report) all came in slightly below estimates. ..... Nickel is at $17,928,
up $73, but we did sink to a low of $17,668 at one point earlier in the day......
Metal Bulletin reports that European tin premiums for 99.85% material in
Rotterdam warehouses have moved lower, and are now at $400-550 per ton from
the $450-550 range previously reported. Premiums for 99.9% material remained
flat at $600-650 per ton. (complete
report here)
Commodity/Economic Comments
(Dow Jones) Singapore nickel premiums are edging higher after demand for
the alloying metal picked up following a recent price decline on the London
Metal Exchange, but a sharp rebound is unlikely due to high inventories,
market participants said.
(Yieh) Reportedly, Taiwanese Tang Eng decided to cut the domestic prices
for its 300 grade hot rolled and cold rolled stainless steel sheet and coil
by NT$5,000/ton and to slash the export prices by US$170/ton for April. According
to the official of Tang Eng, the company’s price cut for April was in
response to the lower nickel prices, weak demand and huge cheap imports.
(Interfax) China is mulling a new round of subsidies for the home appliance
sector that may help support copper demand this year, Hu Xiaochong, an official
with China Household Electrical Appliances Association , told the 8th
International Copper Summit 2012 in Shanghai March 30.
The Ceridian-UCLA Pulse of Commerce Index® (PCI®), issued by the
UCLA Anderson School of Management and Ceridian Corporation rose 0.3 percent
in March following the 0.7 percent increase in February and the 1.7 percent
decrease in January. The first quarter PCI is below the fourth quarter of
last year by 4.9 percent at an annualized rate. -
pdf report
China Nickel
Imports/Exports February 2012 = Imports of unwrought dropped otherwise rose,
while exports jumped to nine-month high = According to China's customs
statistics, imports and exports of nickel bearing materials including ores
in February 2012 as well as during the first two months of 2012 were as per
the attached table hereto. -
more
Zimbabwe says
now "owns" 51 pct of foreign miners - Zimbabwe's government raised the stakes
on Thursday in its drive to wrest majority control of foreign mining companies,
with a minister saying the state now considered it owned 51 percent of firms
that have not complied with local ownership laws. -
more
China has
concentration of vital minerals needed for U.S. manufacturing - Despite China's
emergence as an economic power and all the talk about how America has become
a service economy, U.S. manufacturing is alive and well. -
more
Morning Nickel
Inventory and Price Statistics & Figures
Today's almost official prices
here / Yesterday's actual
LME official prices
here
or
here
Please let us know if any of these links stop working, stop carrying
info, or become available to subscriber's only. We encourage our readers
to use the services of those companies who supply reports and information
free of charge.Contact
us
Headlines & leaders - (Bloomberg) China Speeds Up Opening of Capital
Markets as Quota Lifted to $80 Billion // Asian Stocks Decline as Fed Damps
Stimulus Expectations; Nikkei 225 Slides // Portugal Sells 18-Month Bills
in the Longest Maturity Since EU-IMF Bailout // Portugal Sells 18-Month Bills
in the Longest Maturity Since EU-IMF Bailout // Commerzbank Loan Losses From
Shipping Seen Rising as Shares Slide: Freight // Spanish Yields Reach 12-Week
High on Auction; Italian Bonds Drop // Draghi Says Inflation Risks Prevail
as Europe Economy Starts to Stabilize // Rajoy Says Spain in ‘Extreme
Difficulty’ as Government Bond Demand Drops // European Stocks Fall
as Fed Damps Stimulus Speculation, Spain Sells Bonds // Fed Sees Improving
U.S. Economy Reducing Need for Additional Accommodation // Oil Tumbles on
U.S. Supply Surge as Domestic Output Climbs to 12-Year High // Wall Street
Salaries Rose in 2011 for a Majority of Workers, Survey Finds // U.S. Service
Industries Keep Growing in Sign Job Market Improving: Economy // Stocks Drop
With Commodities as Fed Damps Stimulus Talk; Spain Yields Rise
The Euro is now trading 3/4 of 1% lower against the US Dollar. NYMEX crude
is off 2.3% and trading at $101.62/barrel. Gold is down 1-2/3% while silver
is off over 4.1%. Base metals took a hit as well, all ending lower. Indicator
charts show nickel opened deep in the basement, spent much of the afternoon
climbing out of, only to give up all the days gains late. For the day, Dow
Jones reports three month nickel closed at
$8.10/lb. Stockpiles of nickel
stored in LME approved warehouses rose on Tuesday and now total just over
100,600 tonnes. Markets that were all excited about the possibility of QE3
last week, are now despondent over what was said in the last Fed's meeting
notes. Markets that were all excited about Greece getting its fiscal ducks
in a row (at least for the next month or two) are now despondent over Spain's
problems. Markets that were all excited the first quarter of 2012, are not
starting the second quarter quite as thrilled. In our opinion, nickel took
a hit today based primarily on the Euro getting thumped.
Fed’s Williams: Economy Still Needs Aggressive Central Bank Support
-
more
Markets’ Focus on QE3 Doubts Misses Fed’s Worries About Jobs -
more
Global Central Banks Boost Dollar Holdings, Cut Euro Stores -
more
U.S. Economy Needs Stimulus, Not Soothsayers -
more
Morning
Briefing(8:00 AM CST
is 1PM in London)
Indicators at 7:00 am CST show 3 month nickel trading around $.19/lb
lower, with all London
traded base metals lower as well. The Euro is down over 6/10 of 1% against
the US Dollar. NYMEX crude futures are down nearly 9/10 of 1% and trading
at $103.12/barrel. Gold is down 1-1/4% while silver is 2-1/4% lower. In overnight
trading, Asian markets ended lower, with China markets closed for holiday.
European markets are trading lower this morning, while US futures are lower
as well. Nickel inventories rose on Tuesday.
Bloomberg morning - Copper Drops on Federal Reserve Minutes, Increasing
Stockpiles -
more
LME Morning - Base metals track lower as euro softens -
more
Reports
EUROFER Newsletter Issue 15 - March 2012 -
pdf here
It seems that what is moving markets these days are various pronouncements
coming out of the Fed, either in the form of testimony or speeches given
by Fed Chairman Ben Bernanke, or in yesterday’s case, policy minutes
released by the central bank. The March installment of these sacred
deliberations, released late yesterday afternoon, suggested that the Fed
governors were not eager to launch additional stimulus measures right now,
a stance that was not particularly surprising, but which nevertheless caused
a fair share of damage to a number of markets. Moves towards any type of
quantitative easing, the minutes revealed, would only be undertaken if the
current expansion falters or if deflation sets in, typically defined by inflation
clocking in at less than 2% per annum. “I would have to see some pretty
severe circumstances before I endorse for another round of quantitative
easing,” Atlanta Fed President Dennis Lockhart told Bloomberg, a statement
that seems to make a much more resolute case against QE3 than what was perhaps
being communicated by Bernanke. The central bank also affirmed that it plans
to hold interest rates to near zero through late 2014 as the improvement
it sees in the US economy was deemed insufficient to fast-track the removal
of any rate accommodation. .... Other metals are also sharply lower
right now, with aluminum being particularly being weak and on the verge of
taking out $2100, while nickel briefly broke below $18,000. Oil prices have
yet to buckle, with both the major contracts down only by a modest
$.70-$.90/barrel. ..... Outlook-wise, we do not have much to add to
what we have written in previous commentary. The markets still seem to be
range-bound and we do not think that yesterday’s Fed minutes were that
much of a surprise to justify the current selloff. In our view, a more concerted
correction could set in later this month or going into early May, as European
debt worries mount just as the US could see the recent growth ramp-up start
to “top out” given the dual headwinds of weakening export markets
and high energy prices. In addition, despite the release of last weekend’s
stronger PMI number out of China, we suspect that we will see more evidence
(not less) of overall activity slowing in that critical market. ....
Nickel is at $18,104, down $346, but we did breach $18.000 earlier in the
day, getting to a low of $17,817. (complete report
here)
Commodity/Economic Comments
(China) Service business index rebounds in March -
more
Japan Imported
Ferroalloy Market Report March 29, 2012 = Pitched battle in Europe ongoing
for charge chrome Q2 benchmark = Market outlook in Japan of the imported
ferroalloys as of March 29, 2012 is as follows: -
more
Indonesia can
increase revenue from mining sector - president - Indonesia's President Susilo
Bambang Yudhoyono said on Wednesday he sees opportunities to increase state
revenue from specific sectors of the mining industry but warned that a blanket
tax on all sectors would be counter-productive. -
more
Russia's Potanin
may keep control of Norilsk board - Russia's Norilsk Nickel , where tycoons
Vladimir Potanin and Oleg Deripaska have waged a long battle for control,
will review nominations for its new board on Wednesday, two sources familiar
with company's plans told Reuters. -
more
Indonesia weighs
mine export tax to curb output boom - Indonesia is considering a hefty tax
on mining exports to stop miners from overexploiting resources to beat a
2014 ban on shipments of some unprocessed metals and lower grade coal, an
official said on Wednesday, but the plan may backfire if foreign buyers turn
elsewhere. -
more
Courtesy AISI - In
the week ending March 31, 2012, domestic raw steel production was 1,900,000
net tons while the capability utilization rate was 76.9 percent. Production
was 1,834,000 tons in the week ending March 31, 2011, while the capability
utilization then was 75.0 percent. The current week production represents
a 3.6 percent increase from the same period in the previous year. Production
for the week ending March 31, 2012 is down 2.4 percent from the previous
week ending March 24, 2012 when production was 1,947,000 tons and the rate
of capability utilization was 78.8 percent.
Morning Nickel
Inventory and Price Statistics & Figures
Today's almost official prices
here / Yesterday's actual
LME official prices
here
or
here
Please let us know if any of these links stop working, stop carrying
info, or become available to subscriber's only. We encourage our readers
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us
Headlines & leaders - (Bloomberg) Fortescue’s Power Says China Steel
Demand ‘Very Strong’ // China First-Quarter Growth at 8.4% According
to Estimate Cited by Official // China’s Zhou Urges Fed to Consider
Global Effects of Its Stimulus Programs // Asian Stocks Advance as U.S.,
China Reports Bolster Economic Confidence // German DAX Beating S&P 500
by Most Since 2005 on Global Economic Optimism // Spain’s Debt Will
Rise to Record 79.8% of Economy as Budget Deficit Jumps // Molson Coors Agrees
to Buy Brewer StarBev for $3.5 Bln // James Murdoch Steps Down as BSkyB Chairman
Amid U.K. Phone-Hacking Scandal // European Stocks Fall; Popolare Di Milano
Sinks, Cairn Rises on Acquisition // Economy in U.S. Enters Sweet Spot Spurring
Global Growth While China Slows // American Men Dominate Jobs Recovery Taking
88% of Non-Farm Spots: Economy // Coty Said to Flip From Seller to Buyer
in Avon Deal After Losing Patience // Stocks Fall as S&P 500 Rally Seen
as Overdone; Treasuries Gain, Oil Drops
The Euro is now trading nearly 1/10 of 1% higher against teh US Dollar. NYMEX
crude is off 6/10 of 1% and trading at $104.60/barrel. Gold is down over
1/10 of 1% while silver is nearly 6/10 of 1% higher. Base metals ended their
session mixed and mostly quiet - except for nickel. Indicator charts show
nickel opened higher and did little for the first half of the session, then
broke much higher before collapsing late. For the day, Dow Jones reports
three month closed at $8.37/lb
. Stockpiles
of nickel stored in LME approved warehouses was unchanged overnight after
small shipments outbound were offset by an equal amount received inbound.
Nickel continues to rebound off last weeks lows, on reports Chinese buyers
may be buying imported nickel again. If this is the real reason for the rally,
then we expect it to fizzle out soon. Chinese and US PMI figures are getting
some credit for the increase. We suspect this rally looks more like a technical
rally, assisted by the fact nickel was unable to close below major support
for two consecutive sessions last week, and computer models are buying. Whether
this turns into a real rally, or becomes a suckers rally, is anyone's bet
at the moment. But it's the kind of market condition that gives nickel buyers
a serious headache, and turns any buying strategy they might have had, to
a situation comparable to the winning odds of a Las Vegas casino.
Macquarie as quoted by Reuters - "Feedback from the recent days suggests
Chinese buyers (are) rushing to restock at what are believed to be low prices.
This is reflected in rising physical spot premiums over the last week or
so ..... The LME nickel price is now trading below domestic prices in China,
which makes buying imports more attractive, and currently prevailing price
levels are trading below cash production costs for some nickel pig iron
production in China."
Fed Struggles to Find Minorities for Top Economic Jobs -
more
Sentiment Index Based on News Coverage Shows Improvement -
more
Safety authority
keeps Talvivaara metals plant closed - The Finnish Safety and Chemicals Agency
says that the metals factory of the Talvivaara mine in Sotkamo must remain
closed until its operation is shown to be safe. -
more
Morning
Briefing(8:00 AM CST
is 1PM in London)
Indicators at 7:00 am CST show 3 month nickel trading around $.06/lb
higher, with other
London traded base metals lower at the moment. The Euro is trading over 1/10
of 1% lower against the US Dollar. NYMEX crude futures are down nearly 9/10
of 1% and trading at $104.32/barrel. Gold is down over 1/4 of 1% and silver
is lower by over 1/2 of 1%. In overnight trading, Asian markets ended higher,
while China was closed for a second day. European markets are trading lower
this morning, while US futures are also lower. LME inventory numbers were
unchanged overnight.
Reuters morning - Copper steady near 2-month high on China, U.S. data
- more
LME Morning - Base metals lose momentum, choppiness expected -
more
Copper shot out of the gate on the first trading day of the second quarter
on Monday, posting its biggest one-day gain in 6 weeks and leading all
commodities in the Thomson Reuters-Jefferies CRB index. Although the
stronger-than-expected manufacturing index from China did not jumpstart the
complex, prices started to move later in the day when the US ISM number came
out. It was interesting to see that copper failed to pull the rest of the
metals up along with it, with the closing gains in the rest of the group
on the modest side. Neither did we see a strong advance in the precious metals,
although energy prices shook off a mixed start to add another $2/brl on the
day. We have to say we were surprised by yesterday’s move higher
in copper, as the US manufacturing number cited behind the increase, was
something of a mixed bag. Although the index rose to 53.4 from 52.4 in February,
it came in only slightly ahead of estimates. In addition, the sub-indices
in the report were mixed; the new orders readings component stood at 54.5
in March, down from 54.9 in February, while a measure of exports fell to
54.0 from 59.5, a sign of the headwinds coming out of Europe. On the plus
side, the production index jumped to 58.3 from 55.3, as did the factory
employment index (up to 56.1 from 53.2). In addition, a separate report showed
US construction spending decreasing by 1.1% in February -- its biggest drop
since July. Right now, markets are generally lower, with copper giving back
a small portion of yesterday’s gains despite a brief uptick to $8702
earlier in the day. Chinese markets were closed yesterday, and will remain
shut through Wednesday. .... Nickel is at $18,350, up $125, and perking up
over the last few days. Given the market’s impressive bounce off support
at around $17,000 and nickel’s improved competitiveness versus pig iron,
we likely will move somewhat higher from here. (complete report
here)
Commodity/Economic Comments
(Reuters) Indonesia plans 25 pct mining export tax in 2012
(Yieh) Rio de Janeiro steelworker union said that the Brazilian flats maker
Companhia Siderurgica Nacional (CSN) is planning to cut about 1,000 employees,
aiming to reduce costs.
(Yieh) It’s reported that Chinese steelmaker said that its sales volumes
of stainless steel products totaled 1.353 million tons in 2011, up slightly
by 0.8% from a year ago. Meanwhile, its stainless steel sales acquired 5.2%
of the total sales volumes in 2011.
Codelco's Molybdenum
2011 Output Up YoY = 50.7 million pounds produced, up 5% YoY and 50.7 million
pounds sold, up 9.5% YoY = Codelco announced late last week production/sales
results of 2011. Total output of molybdenum during the year was, according
to the results, 50.7 million pounds (23,000 tons) of molybdenum content,
up by 4.5% from 48.5 million pounds (22,000 tons) produced in 2010, and quantity
sold in 2011 was 50.7 million pounds (23,000 tons) of molybdenum content,
up by 9.5% from 46.3 million pounds (21,000 tons) sold in 2010. -
more
Rusal Would Study
Norilsk Sale at Right Price - United Co. Rusal’s Chairman Barry Cheung,
whose predecessor quit citing a “deep crisis” at the company, said
the world’s biggest aluminum producer would study selling its stake
in OAO GMK Norilsk Nickel at the right price. -
video
here
Rusal Chairman: No Plan To Sell Down Stake In Norilsk Nickel - Barry Cheung,
the newly appointed independent non-executive chairman of the world's largest
aluminum producer United Co. Rusal PLC (0486.HK), said that the Russian miner
hasn't received any offer for its 25% stake in OAO Norilsk Nickel (GMKN.RS)
and that it has no current plan to sell down its investment in the nickel
miner. -
more
Morning Nickel
Inventory and Price Statistics & Figures
Today's almost official prices
here / Yesterday's actual
LME official prices
here
or
here
Please let us know if any of these links stop working, stop carrying
info, or become available to subscriber's only. We encourage our readers
to use the services of those companies who supply reports and information
free of charge.Contact
us
Headlines & leaders - (Bloomberg) China Manufacturing Gain Masks
Exporters’ Struggle as More Loosening Seen // Asian Stocks Rise After
China Manufacturing Data; Australian Dollar Climbs // European Leaders Seek
Additional Global Help After Crisis Firewall Boosted // European Stocks Gain
as U.S., China Manufacturing Expand // Groupon Revisions Highlight Risk as
New Model Outpaces Accounting Controls // Oil Rises From Six-Week Low on
U.S. Manufacturing // U.S. Stocks Rise as Manufacturing Growth Tops Estimates
The Euro continues to trade 1/10 of 1% lower against the US Dollar. NYMEX
crude is up nearly 1.4% and trading at $104.44/barrel. Gold is 2/3 of 1%
higher while silver is up over 2-3/4%. Base metals ended the session higher
as well. After an early morning jump that was quickly fading, indicator chart
show nickel jumped on news the US PMI came in higher than expected, and rose
nearly $600/tonne over the course of two hours, before falling back late.
For the day, Dow Jones reports three month nickel closed at
$8.26/lb
. Stockpiles
of nickel stored in LME approved warehouses rose over the 100,000 tonne level
on Friday for the first time since early September 2011. Levels now read
just under 100,550 tonnes. Ed Meir of FC Stone is advising investor clients
to be patient and wait for nickel to consolidate before betting on a positive
run up in prices. The market seemed unimpressed with the growth in the Chinese
PMI, but appears to have loved today's U.S. PMI report. Liberty Mines announced
a resumption of nickel production today at its Timmins, Ontario operation.
And China markets are closed for holiday today and tomorrow.
Reuters - Canada's Liberty Mines Inc said it has restarted production at
its nickel facility in Timmins, Ontario, a year after suspending milling
for maintenance.
Number of the Week: Can Popular Job Be Well Paid? -
more
Big Part of Consumer Spending Paid by Uncle Sam -
more
Mega Millions Sells More Than 2 Tickets for Every U.S. Resident -
more
Indicators at 7:00 am CST show 3 month nickel trading around $.01/lb
higher, with other
London traded base metal quietly lower. The Euro is trading 1/10 of 1% lower
against the US Dollar at the moment. NYMEX crude futures are down nearly
6/10 of 1% and trading at $102.43/barrel. Gold is down 2/10 of 1% and silver
is up over 1/3 of 1%. In overnight trading, Asian markets ended higher, while
China markets were closed for the Qingming Festival. European markets are
trading lower this morning, while US futures are lower as well. Nickel stockpiles
rose over the 100,000 tonne level on Friday.
Reuters morning - Copper up on China factory data, but caution reigns -
more
LME Morning - Base metals lifted on China data, thin trading conditions expected
-
more
Copper prices rose on Friday, ending the month pretty much flat, but having
a very decent first quarter all things considered, with prices up some 11%
over the period. (For what its worth, tin was the star performer in the LME
group in Q1, up 19%, while nickel was the biggest loser, off some 5%). Despite
the late-week gains in copper, we have not yet been able to break out of
a relatively tight trading range of between $8100-$8800 now in place for
the better part of two and a half months. Moreover, many of the other metals
seem to be immune from copper’s relative resiliency, with aluminum and
nickel looking particularly weak. Weekend numbers out of China were supposed
to give the markets something fresh to look at and possibly provide clearer
direction for the markets, but so far, this has not happened. China’s
March official purchasing manager's index showed an unexpected jump to 53.1,
an eleven-month peak, but after an initial burst higher, metal prices are
now largely mixed in listless trading. It is interesting to note that
China’s official PMI number varies significantly from the unofficial
HSBC/Markit reading out last week, which showed activity contracting. Economists
tell Bloomberg that the discrepancy may be due to the fact that there are
seasonal influences embedded in the official number, and so the actual reading
may not be as strong as it looks. (The other reason, of course, may have
to do with the veracity of Chinese statistics itself. In this regard, it
always amazes us how quickly official Chinese macro numbers are released,
usually hours after the month is over). .... In other news, commodity
hedge funds are reporting lackluster returns for the first quarter despite
one of the biggest monthly rallies in crude oil in years and decreasing market
volatility. The average hedge fund earned in excess of 5% for the year thus
far, according to Hedge Fund Research. Blenheim Capital, the largest commodity
fund, is up 4% so far this year, while London’s Clive Capital has lost
0.63%. Singapore’s Merchant Capital has gained just under 2% and BlueGold
was down 2% (as of February. Astenbeck Capital has performed the best of
the lot, with the $5 bln firm returning 13.5% so far this year. “Some
people have shied away from taking big directional bets in oil after they
got burned last year in May. Macroeconomic uncertainty is still deterring
people from actively engaging on the long side,” a manager of one fund
told the paper. .... Nickel is at $17,914, up $89, and selling off from an
earlier high of $18,200. Support at $17,800 was taken out last week, and
although we are back over it right now, nickel’s downchannel is still
very much in place and will not be taken out until we get a close above $18,700.
Nickel should start looking attractive at current levels, particularly
considering its improved competitiveness vs. pig iron, but we would like
to see a degree of consolidation before recommending a long position. (complete
report here)
Commodity/Economic Comments
(Yieh) It’s reported that the Stainless Steel Council of China Special
Steel Enterprise Association (CSSC) has urged the government to take action
against 304H stainless steel imports, used in high-temperature applications.
(CMMW) Meanwhile, the Xstrata-Merafe chrome venture reported that it had
amended its agreement with Eskom, which would see it temporarily closing
an additional two furnaces at its Wonderkop and Lydenburg smelters from April
1 to the end of May.
Funds Cut Bullish Bets, Goldman Goes Neutral: Commodities -
more
(SMM) China's Purchasing Managers Index (PMI), a preliminary readout of the
country's manufacturing activity, rose for four consecutive months to the
highest level since October, indicating the economy is on path of steady
growth. PMI climbed to 53.1 percent in March of 2012, 2.1 percentage points
higher than a month earlier, the China Federation of Logistics and Purchasing
said Sunday. A PMI reading of 50 percent demarcates expansion from contraction
Nickel-Ore
Exports From Philippines Seen Rising on Indonesia Ban - Nickel-ore production
and exports from the Philippines are set to increase this year as the nation
benefits from Indonesia’s plan to halt shipments of unprocessed material
next month, the Mines and Geosciences Bureau said. -
more
Japan Crude SUS
January 2012 Production By Mill Up = Up by 4.0% from January; monthly increase
of two months in a row from the curtailment started in November = Crude stainless
steel production in January 2012 by the 7 major Japanese stainless steel
mills was 281,770 tons, up 4.0% from 270,979 tons recorded in December 2011.
This is another monthly increase following December when the output rebounded
from the drop in November due to the curtailment. -
more
Trojan course:
Zim mine brings nickel back on China dime - A Chinese mining group will invest
$21.2-million to restart Zimbabwe's Trojan nickel mine that closed during
the country's political turmoil, the mine's owners announced on Monday. -
more
Morning Nickel
Inventory and Price Statistics & Figures
Today's almost official prices
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LME official prices
here
or
here
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"A Guide To LME
Trading"...pdf here(all ton listings are metric
tons = 2204.622 pounds ) Updated twice daily - before 8 am CST and before
1 pm CST weekdays -
DisclaimerOriginal content and opinions copyright
www.estainlesssteel.com. All prices shown on this page
are indications only. Note - For real time and official LME prices, LME requires
a user subscribe to an authorized LME vendor.
Daily
Nickel/Stainless Steel Wrap-up
(
Reports
Commodity/Economic Articles and Comments
A Ferrochrome
producers seek support for export tariff - South Africa’s mature chrome
value chain which provides over 200 000 jobs and contributes over R42 billion
in Gross Domestic Product is under threat and its rapidly declining market
share is putting jobs at risk, Ferrochrome producers alleged in a meeting
held with North West Premier Mme Thandi Modise in Mahikeng this week. -
The International
Stainless Steel Forum (ISSF) has released this new video to mark the centenary
since stainless steel was first discovered and commercialised. -
Morning Nickel
Inventory and Price Statistics & Figures
(
Chinese traders
divided over near-term outlook for moly oxide prices - Chinese traders, the
largest spot molybdenum oxide suppliers in Asia, were divided Tuesday over
the direction in which prices would head in the near term. -
Palladium, Nickel
Seen Gaining From China Consumption Shift - Aluminum, nickel, palladium and
gold may benefit from China’s shift toward consumption-driven growth
from an economy fueled by investment, while agricultural products are set
to lag behind, according to Barclays Capital. -
Vale: Profit down
44%, but 'worst over' in China - Brazil's Vale SA, the world's biggest iron-ore
producing company, saw first-quarter profits slump as heavy rains hit shipments
and iron ore prices sank on China's growth slowdown. -
Vale says all
furnaces are back on after incident - Publicly-listed PT Vale Indonesia set
high expectations for the company’s newly installed electric furnaces
in Sorowako, South Sulawesi, after undergoing early repairs and consequent
upgrades following an incident involving angry locals last year. -
100 years
of stainless steel: Developed in Krupp’s research labs in Essen and
first patented in 1912 - Stainless steel is an indispensable part of our
everyday lives – at work, at home or at leisure. The foundations for
its global use were laid 100 years ago. -
Mining Companies
in Global Talent War - Bruno Rizzuto’s father, Cesare, was 19 when he
got off a boat in Halifax from southern Italy in 1951. With no coat, and
“5 cents in his pocket” he headed for the gold mines of Timmins,
Ontario, where he worked underground for 41 years. -
Stakeholders meet
to review Ramu mine deal - The week-long Ramu nickel cobalt mine project
memorandum of agreement (MoA) review meeting between the state, Madang provincial
government, landowners and Ramu NiCo Ltd started in Mt Hagen yesterday. -
Stop-work order
issued - A Ministry of Labour inspector issued a stop-work order for First
Nickel's Lockerby Mine on Monday after a random inspection showed there were
problems with the No. 2 shaft. -
2 plead guilty to
stealing tons of nickel - Two men who operate a warehouse that stored nickel
briquettes imported through the Port of Baltimore have pleaded guilty to
a plot to steal tons of the metal and selling it. -
Environmental watchdog
sues Norilsk Nickel for $33 mln - The Krasnoyarsk Territory Commercial Court
has registered the environmental watchdog's $32.58 million lawsuit against
MMC Norilsk Nickel for environmental damage. -
Nickel miner
ponders court challenge - A High Court challenge to the carbon tax will centre
on a government decision that is likely to hand windfall carbon tax compensation
to BHP and cut that for Queensland's Yabulu nickel refinery owned by Labor's
arch-enemy, Clive Palmer. -
BHP Colombia
nickel mine output up 72 pct - Nickel production in BHP Billiton Cerro Matoso
mine in Colombia rose 72 percent in the first quarter from the year earlier
thanks to the replacement of a furnace, the company said. -
POSCO expects
earnings to improve in second half - South Korea's POSCO, Asia's second-biggest
steelmaker, expects earnings to improve in the second half as a better global
economic outlook allows the company to ask for higher domestic product prices.
-
BRIC Countries
To Drive Global Steelmaking To Record High in 2012 - MEPS predicts global
steel output at 1625 million tonnes this year. This equates to a rise of
over 80 million tonnes (5.4 percent) compared with 2011. -
Japan Imported
Ferroalloy Market Report April 13, 2012 = Increased scrutiny by Chinese customs
against the roundabout trade causing a bit of stir in the market = Market
outlook in Japan of the imported ferroalloys as of April 13, 2012 is as follows:
-
Vale fined
for New Caledonia acid spill - New Caledonia’s appeal court has fined
the Vale nickel company 5,000 US dollars over an acid spill at its Goro plant
three years ago. -
Nickel and
ferrochrome prices diverge - Power of supply-side economics shows in nickel
and ferrochrome markets with Xstrata having curbed ferrochrome output by
425000 tons. -
Filipino priest
wins international environment award - Filipino priest Edwin Gariguez has
been named one of the winners of The Goldman Environmental Prize award over
his anti-mining advocacies, particularly in the island of Mindoro. -
Q2 Price
For Charge Chrome Agreed With One European Mill = At US¢135/lb Cr; European
benchmark yet to be agreed officially = According to some sources of information
in Europe, an agreement was made between a South African ferrochrome producer
and a European stainless steel mill on the price to be applied to the shipments
during the second calendar quarter of 2012 to be increased by US¢20/lb
Cr from the first quarter benchmark price of US¢115/lb Cr ddp. -
(
India will emerge
a big market for stainless steel - We want to bring the latest products to
Indian customers. But at times we get entangled in anti-dumping issues. -
Zimbabwe says
now "owns" 51 pct of foreign miners - Zimbabwe's government raised the stakes
on Thursday in its drive to wrest majority control of foreign mining companies,
with a minister saying the state now considered it owned 51 percent of firms
that have not complied with local ownership laws. -
Safety authority
keeps Talvivaara metals plant closed - The Finnish Safety and Chemicals Agency
says that the metals factory of the Talvivaara mine in Sotkamo must remain
closed until its operation is shown to be safe. -
