Updated twice daily before 8:00 am CST and by 1 pm CST

• All daily inventory and official price information moved to morning update.
• Baltic Dry Index - plus 418 to 11,068. (chart) (this is a new record high, beating the old record of 11,039 - article and another)
• Live dollar trading today - here (in java) (chart of dollar index)
• Federal Reserve reported industrial production dropped 0.7 percent last month, more than double the decline that economists had expected. In part of this report, output in the U.S. mining sector declined by 0.8 percent. Labor Department reported that for the week ending May 3, the total number of Americans receiving unemployment benefits had risen by 28,000 to 3.06 million, the third straight week that this figure has been above 3 million. In Europe, the statistical agency Eurostat put Eurozone 1st quarter GDP growth at a sequential rate of 0.7%, faster than 0.4% recorded in the final quarter of 2007. This helped the Euro gain on the Dollar. Then the European Central Bank President Jean-Claude stated that the second quarter numbers would be "less flattering". This hurt the Euro, and much of the earlier gains evaporated (more). Metals stayed green though, except for nickel, which indicator charts show most of the day in the red zone. As you can see by Sucden's chart (chart), nickel has leaned heavily on the $26,450/tonne support line over the past few days, but based off today's closing as slipped below. According to Dow Jones, three month nickel ended the day at $11.93/lb .  
• Closing Metals Report from Dow Jones - more
• Reuters - more
• China Earthquake - Situation Map (from 13 May) - pdf here China agency reported today that death toll from this weeks earthquake may reach 50,000. Tuhigh.com is a Chinese version of Flickr and is carrying many photo's of the earthquake aftermath. Be warned though. Some of these photo's are very graphic and shows scenes we in the West find 'uncomfortable' or 'offensive' here. One especially painful photo for any parent to see very graphic

  China Iron & Steel Association Thursday asked domestic steel mills and iron ore traders to boycott Rio Tinto PLC's (RTP) spot iron ore sales, as the company isn't fully meeting its long-term contract supply obligations with Chinese firms. - more

• Rio Tinto last night slammed Chinese steelmakers over increasingly aggressive negotiating tactics, after the China Iron & Steel Association called for its members to boycott the Anglo-Australian mining group's spot sales of iron ore. - more

  Morning Briefing (8:00 AM CST is 2 PM in London)

• Indicators at 7:50 am CST show 3 month nickel selling around $.05/lb lower. Dollar is edging down against the Euro, and except for nickel, indicators show all the other metals are trading in the green this morning. Tin has already set a new price record, its 6th in the last 8 trading days.    
• Bloomberg morning metal news - more
• Forbes - more
• AFX News - more

  Reports

• KBC Commodities Report - pdf here
• Institute of Scrap Recycling Industries, Inc. Market Report - pdf here

  Commodity Comments

• Ed Meir of MF Global Morning Comments - "LME metals closed lower yesterday, as markets drifted into a "wait and see" mode with respect to the ramifications of the earthquake in China on metal production. The group's main drivers from earlier this week- lead and zinc - both lost ground yesterday. The dollar was not much of factor, giving up earlier gains after a CPI report showed that prices rose by 0.2% in April, less than the 0.3% gain expected. This morning, we are swinging back towards the upside, but trading lacks conviction, with prices hemmed in within narrow trading bands in most of the metals. A weaker dollar is supporting the complex, but a distinct lack of buying out of China, especially on the copper side, is keeping the upside potential in check. ... Nickel is at $26,600, up $50, and quiet.(read Ed Meir's complete morning base metals report here)

  The Seamless Stainless Tube Trade Action Committee (SSTTAC) today released a report titled "Rigging the Game: A Report on Chinese Government Subsidies to Seamless Stainless Steel Tubing Producers." - more  (The SSTTAC authorized 'Stainless Steel News' to post the 75 page report and you can download it here)

  Because of the higher import price of stainless scrap and weak demand for stainless steel, major stainless steel mills in China plan to reduce their output in May. - more

  Officials of New Caledonia, a nickel-rich French territory, are in the country to seek economic cooperation with the Philippines to augment its needs for human resources for the establishment of another $4-billion nickel plant and other infrastructure requirements. - more

  Over the last 3 decades, premature deterioration of reinforced concrete structures has become a serious problem worldwide due to corrosion of the embedded steel. The estimated cost of repair is in excess of USD 550 billion. - more

  China's steel mills and trading companies on Thursday were urged to boycott iron ore mined by Rio Tinto Ltd/Plc and sold in spot markets as negotiations drag on over long-term contracts. - more

  Philippine authorities are trying to iron out differences between BHP Billiton Ltd. (BHP) and a local joint venture partner over the development of a nickel mine in the country, Mines and Geosciences Bureau director Horacio Ramos said Thursday. - more

  Average steel prices will likely top 100,000 yen ($952.47) a ton for the first time, leading to more expensive cars, electronic appliances and other products, sources said Wednesday. - more

  (comment - watch the dollar. This kind of talk hurts the dollar which typically boosts commodity prices) Americans are feeling a lot more economic pain than the government's official statistics would lead you to believe, according to a growing number of experts. - more

• The Overnight Report: Cookin' The Books - more

  Morning Nickel Inventory and Price Statistics & Figures

• London Metal Exchange inventory figures - most days available here (if not check this daily report under nickel here) (charts)
• London Metal Exchange inventory changes - most days here (if not check this daily report under nickel here)
• Today's almost official prices here  /  Yesterday's actual LME official prices here (chart)
• Shanghai Jinchuan nickel price - available here   (charts)
• India Commodities Price - available here
• Please let us know if any of these links stop working, stop carrying info, or become available to subscriber's only

• All daily inventory and official price information moved to morning update.
• Baltic Dry Index - plus 295 to 10,649. (chart) (article)
• Live dollar trading today - here (in java) (chart of dollar index)
• Dollar gained against the Euro today, and metals responded accordingly. Nearly all were trading in the red, with nickel no different. According to indicator charts, our morning report that nickel was attempting a recovery held true, and while gaining back around 1/2 of its earlier losses, that was about all it could pull off. Reports show LME inventory numbers took another hit, and while there is a long way to go before the figures would get overly concerning, considering the demand is down, and supply channels are apparently running full bore, it is puzzling. For the day, according to the Dow Jones report below, three month nickel ended the day at $12.02/lb    
• Closing Metals Report from Dow Jones - more
• AFX - more
• Forbes - more
• Reports out of China this morning say dangerous cracks have been discovered in the Zipingku Dam, and 2000 troops have been dispatched to patch it. Here is a Google Map photo of the dam here. The number reported killed in the earthquake so far is officially 14,886, but this number is expected to pale in comparison to those yet to be removed from the rubble. Thousands are yet to be accounted for. The official toll from the Burmese cyclone was updated today to 38,491 killed with 27,838 still missing. With so many suffering, the price of nickel just does not seem to be that important today.  

  Reports

• Standard Bank Commodities Research Weekly - pdf here
• Rand Merchant Bank Base Metals Weekly - pdf here
• KBC Commodities Report - pdf here

  Vale, the world's biggest iron ore producer, will enhance its presence in Japan and other Asian countries by improving logistics to vie with its key rivals BHP Billiton Ltd. and Rio Tinto Ltd., Vale Chief Executive Officer Roger Agnelli said Wednesday. - more

  Nickel - Major market developments in April - Rising supply, high stocks and lower than expected consumption from the key stainless steel industry point to weaker nickel prices in the coming months, analysts say. - more

  Landless Brazilian peasants ended their blockade of a railroad run by mining company Vale on Wednesday after a daylong protest that caused trade losses worth at least $22 million. - more

  Planned expansions by major iron ore producers will not be enough to curb prices as China raises steel output and steel sector margins are big enough to pay more for raw materials, an industry conference has heard. - more

  (comment - here is a problem American builders wish they had) The resources boom has pushed up residential property prices in some mining towns by more than 44 per cent in the past year. - more

  Tim Jones argues that the intrinsic value, solidity and aesthetics of metals is being overlooked. It’s time we valued metal. - more

  Morning Briefing (8:00 AM CST is 2 PM in London)

• Indicators at 7:50 am CST show 3 month nickel selling around $.12/lb lower. Inventories continue to slide, but so does the Euro against the Dollar, and thus the bounce of yesterday has fizzled. Indicator charts show nickel was sliding hard until recently, and has since began to recover some of its morning losses. News that even pig nickel producers in China are complaining about it being slow. We have added a photo we found in Shanghai Daily last night. Little difficult to see, but its a single photo that says so much about the pain and suffering of the Chinese people in general, and one family, in particular. The death toll has climbed to nearly 15,000, and expected to go much higher, but the much of the world's attention has been focused on the crumpled school and concern for the 900 trapped children.  
• Bloomberg morning metal news - more
• AFX News - more
• Photo - A mother cries for help for her child trapped in debris at Hanwang Township - article and photo here

  Reports

• CommerzBank Commodities Daily - pdf here
• Standard Bank Market Comment - here
• GFMS Market Analysis: Nickel - here

  Commodity Comments

• Ed Meir of MF Global Morning Comments -  "LME prices finished higher yesterday expect for a surprising fade in copper, which lost about $130/MT over the course of the day to close about $40/MT in the red. However, the rest of the group held on, with zinc looking particularly strong, up $130 on the day, as it was the hardest hit by China’s earthquake. ... This morning, we are selling off in metals, and even zinc has given up earlier gains to trade lower after a limit-up session in Shanghai. ... The dollar is stronger today, taking its toll on precious and base metals, but energy markets are down only modestly. Mining shares are up sharply in the UK, particularly BHP’s stock, which rose 7% today on rumors that Chinese buyers were accumulating a 10% stake. ... Nickel is at $26,600, down $450. Charts still look weak, and we will likely push lower from here." (read Ed Meir's complete morning base metals report here)
• Scotia Capital China Update - "Some clients asked us why we take a neutral view on nickel while we remain more positive for the rest of the base metals. The latest development in China’s stainless steel market could partially answer this question. Last week, China’s main stainless steel mills were cutting prices in order to realign themselves with the weaker market. Taiyuan Iron and Steel cut its 304-grade stainless by RMB1,300-RMB1,500/tonne month over month, or about 4.5%. China’s two largest stainless steel mills, Taiyuan and Baosteel, as well as the Chinese units of Posco, recently announced a 50% cut of the supply of 300-series products to agents and distributors in May compared with April in an attempt to reduce market surplus pressure. In contrast to the 300-series, which uses nickel, the ex-works price for other products, such as 400-series cold-rolled sheet and hot-rolled sheet, was raised by some RMB300-RMB500/tonne on May 1 due to the firmness of ferrochrome prices. Other than the sluggishness in China’s 300-series stainless steel market, we cannot get excited about nickel because of the increasing use of low-grade nickel ore. As we reported earlier, Chinese users have significantly improved the efficiency of ore processing by using electric furnaces."

  China's ferronickel companies, suppliers of main material of stainless steel, are pessimistic about the market due to the low demand for stainless steel.- more

  Albidon's Munali nickel project in Zambia will produce its first concentrate this weekend and production will reach 10,500 tonnes per year by 2010, Managing Director Dale Rogers said. - more

  The actual quantities of chrome ore and ferro-chrome imported by China in the first quarter (January - March) of 2008 were known and the increased imports from South Africa are remarkable. - more

  The world iron ore industry is dominated by three major international suppliers: Brazil's Companhia Vale do Rio Doce and two Australian producers BHP Billiton and Rio Tinto. These three contribute around 80 percent of the world's sea-borne iron ore that are shipped into emerging markets such as China. - more

  The economic slowdown in the US is not expected to affect the global steel market or Brazilian steelmakers, according to Renato Vallerini, director of sales to external markets for Belo Horizonte-based integrated steelmaker Usiminas. - more

  Blurb - The industrial output of China's major enterprises grew 15.7 percent year-on-year in April, the National Bureau of Statistics (NBS) said Wednesday.

  The mining industry could top last year's record number of mergers and acquisitions with more than US$250 billion ($325 billion) worth of takeovers this year as demand from Asia inspires an unprecedented land-grab in the sector. - more

  The country's boreal forest and mining communities are on the brink of environmental devastation unless mining companies and senior levels of government act now, say two mining industry watchdogs. - more

  Morning Nickel Inventory and Price Statistics & Figures

• London Metal Exchange inventory figures - most days available here (if not check this daily report under nickel here) (charts)
• London Metal Exchange inventory changes - most days here (if not check this daily report under nickel here)
• Today's almost official prices here  /  Yesterday's actual LME official prices here (chart)
• Shanghai Jinchuan nickel price - available here   (charts)
• India Commodities Price - available here
• Please let us know if any of these links stop working, stop carrying info, or become available to subscriber's only

• All daily inventory and official price information moved to morning update.
• Baltic Dry Index - plus 134 to 10,354. (chart)
• Live dollar trading today - here (in java) (chart of dollar index)
• The dollar was up against the Euro as US retail sales figures came in better than expected. Zinc prices jumped around 7% today, in part on news that China had ordered mines in the quake area shut down, and in part, because of a strike in Africa. Other metals were mixed, except for tin, which hasn't needed a new reason to break its price record daily. Copper traders are watching Peru and Chile closely for more strike potential. Nickel apparently got a morale boost overnight, when inventories stocked in LME warehouses fell under the 50,000 tonne level for the first time since March 31st. While the overnight decline was less than 1% of the total, the 50,000 tonne level was treated as a psychological price mover when inventories were rising, so we can expect traders to treat it equally on the way down. Inventories have now fallen nearly 4-1/2% since April 23rd. We find it concerning that inbound nickel shipments have dried up recently. So far this month, Rotterdam has seen the sole inbound shipment of 24 tonnes. It would be easy to play the conspiracy theorist and accuse nickel miners of stockpiling, but we feel that anyone muttering that allegation in this market, would be an absurd accusation. Although we have seen no announcement, Norilsk should be facing its annual month long shutdown of nickel shipments because of flooding on the Yenisey River at anytime now. In years past, we have seen a surge of inventory arriving into LME warehouses right before this shutdown. That trend has not repeated itself this year, which could mean the supply/demand picture is much tighter than originally thought.  For today, three month nickel ended the day at $12.25/lb , according to the Dow Jones report below.
• Closing Metals Report from Dow Jones - more

  Comments

• (opinion) There are a few cases ongoing that are setting an incredibly dangerous precedent and mining companies, specifically US, should keep a weary eye on what is unfolding. Last year, Chiquita revealed to the US government that it had been forced to pay extortion money to both left and right-wing paramilitary group's in Colombia. After paying a fine to the US government, relatives of people killed in Colombia are now suing Chiquita. (here) And this week, the US Supreme Court was unable to overturn a lower court ruling allowing South African victims to sue 23 U.S. multinational corporations on the grounds that the companies collaborated with the policy of apartheid. (here) Neither of these cases are new (the South Africa case has been tied up in court for at least 5 years), but they both appear to be potentially going to trial soon. Now that this can of worms is open, are there any corporation doing business overseas that are safe? If you invest billions into a mine in Indonesia, and all of a sudden the military in that country says you will need to pay a tax for protection, do you become responsible for the actions that military takes by paying? Or if the military is non-existent in the area and a terrorist group take control, do you pay them to leave you alone, or do you shut down the mine? Are there not mining companies today, that are alleged to have paid, and possibly still paying, this type of "tax" (extortion) to foreign military's? And what define's a terrorist organization? One man's terrorist is another man's freedom fighter, and if the balance of power in that country switches, was the terrorist of yester-years, now the legitimate government of today? If successful in the US, will 'victims' begin to look to other country's corporations for compensation?   

  London-based Natixis Commodity Market's latest quarterly metals review has forecast a mixed bag for base metals in 2008 with zinc and nickel prices likely to come down by 27.7 per cent and 30.1 per cent, respectively, from their average last year. - more

  Morning Briefing (8:00 AM CST is 2 PM in London)

• Indicators at 7:50 am CST show 3 month nickel selling around $.03/lb higher this morning. Indicator charts show nickel has recently peaked out  a daily high, and is currently retreating. In other metals, precious metals are all trading down, while the entire base metals complex is up, tin setting yet another record high.    
• Bloomberg morning metal news - more
• Forbes - more

  Reports

• CommerzBank Commodities Daily - pdf here
• TD Bank Weekly Commodity Price report - pdf here
• EDC Weekly Commodity rice Report - pdf here
• Reuters Metal Weekly - pdf here
• Desjardins Commodity Trends - pdf here
• Bombay Metal Market Month in Review - pdf here

  Commodity Comments

• Ed Meir of MF Global Morning Comments - "LME prices rose sharply yesterday on the back of a weaker dollar and an overdue technical bounce after several days of weakness. Moreover, news of a massive earthquake hitting China ’s Sichuan province also sparked some short covering yesterday. More color on the quake situation is coming our way today. In this regard, Chinese research firm Antaike said overnight that some zinc smelters in China have halted production in the aftermath of the quake, and that up to 500,000 tons of zinc capacity has been impacted. This contrasts with initial reports out yesterday that the province was mainly agrarian, and not heavily dotted with smelter facilities. Nevertheless, it is quite understandable for metal markets to get nervous given that a staggering 12,000 people may have died, not to mention the innumerable logistical problems caused by blocked roads and downed telephone lines. This morning, LME metals are higher despite a stronger dollar and lower energy prices. The relative laggards of recent weeks-- zinc and lead -- are particularly strong today. ... After today’s initial burst higher, we expect most metals to settle into a sideways drift, as the various crosscurrents at play should prevent a decisive move in either direction. Although the Chinese disruptions are supportive in the short-term, they could lose their potency over the course of the week as the impact of the initial shock dissipates, and focus returns on recovery/restart efforts, not to mention Chinese metals demand prospects, which still seem spotty at best. ... Nickel is at $27,000, up $450. Despite today’s move higher, charts still look weak, with nickel really being dragged higher by the rest of the group." (read Ed Meir's complete morning base metals report here)
• Quote from book - 'The International Nickel Trade by By Simon Clow published by Woodhead Publishing 1992' - "The early stages of industrialisation are normally accompanied by a sharp rise in nickel consumption expressed per unit of GDP. As industrialisation advances, the consumption growth tends merely to match the growth in GDP. In more mature economies, nickel consumption per unit of GDP starts to slip as demand in the economy is focused increasingly on the service sector."

  Freeport-McMoRan Copper & Gold Inc. (Freeport) of the USA announced that the Company is scheduled to produce 75 million lbs. per annum of molybdenum in molybdenum concentrate in the calendar year (January - December) of 2008, increasing by 5 million lbs. compared with that in the preceding year of 2007, but has already sold 85% of the output of molybdenum in concentrate as planned to produce in 2008 on the basis of yearly contracts or quarterly contracts. - more

  The Koniambo nickel site in the north of New Caledonia has again been blocked by local truck drivers who are upset about not getting contracts. - more

  Brazilian mining and metals giant Vale is considering building two new steel plants in northern Brazil's Pará and Maranhão states, a company official said Monday. - more

  India's government may scrap levies on steel-product exports after the companies agreed to lower prices to help cool the fastest inflation in more than three years. - more

  Courtesy AISI - "In the week ending May 10, 2008, domestic raw steel production was 2,136,000 net tons while the capability utilization rate was 89.5 percent. Production was 2,121,000 tons in the week ending May 10, 2007, while the capability utilization then was 88.4 percent. The current week production represents a 0.7 percent decrease from the same period in the previous year. Production for the week ending May 10, 2008 is up 1.8 percent from the previous week ending May 3, 2008 when production was 2,098,000 tons and the rate of capability utilization was 88.0 percent."

  Morning Nickel Inventory and Price Statistics & Figures

• London Metal Exchange inventory figures - most days available here (if not check this daily report under nickel here) (charts)
• London Metal Exchange inventory changes - most days here (if not check this daily report under nickel here)
• Today's almost official prices here  /  Yesterday's actual LME official prices here (chart)
• Shanghai Jinchuan nickel price - available here   (charts)
• India Commodities Price - available here
• Please let us know if any of these links stop working, stop carrying info, or become available to subscriber's only

• Baltic Dry Index - minus 17 to 10,220. (chart)
• Live dollar trading today - here (in java) (chart of dollar index)
• Markets were watching news out of southwest China closely after a 7.8 magnitude earthquake did extensive damage. Many  thousands have been killed and injured. (China Daily) (Shanghai Daily) (USGS Earthquake Monitor) All the talk about the Fed potentially raising interest rates to combat inflation, seemingly evaporated over the weekend, as the talk shifted back to concerns they make actually need to cut rates more to stimulate the U.S. economy. With that kind of speculation, the dollar fell against the Euro.
• On the chart we have been following (here) nickel has clearly fallen out of the squeeze, and below the top 3 trend lines. The squeeze had forecast a major movement, but not which way the price would go. Now we know. The only remaining trend line is for $23,100/tonne ($10.48/lb), which is very low. We may see the chart trend lines updated over the next few days. Ed Meir, of Sucden, puts a new support at $11.75/lb and resistance at $12.61/lb. Indicator charts show nickel had a tumultuous ride today, going up, then down, and repeating this action much of the day. Late in the day, RBC was quoted in Forbes "After the large systematic selling seen last week, traders have started to buy back some of their short positions, causing prices to edge higher,' said analysts at RBC Capital Markets". This wasn't enough to pull nickel out of the basement. Dow Jones reports below that three month nickel ended the day at $12.02/lb  
• Closing Metals Report from Dow Jones - more
• Opinion - Our thoughts are with the Chinese people today, and they have our very best wishes and hopes.

  Reports

• Behre Dolbear Global Mining News updated - here

  Commodity Comments

• Copyright/courtesy Reuters - " Analysts said that while risk appetite had picked up, many investors stayed cautious about the health of the global economy and financial systems. "Maybe some participants are thinking that they have priced in a bit too much weakness in the U.S.," said Citigroup currency strategist David Pais in London, adding: "Our own sense is that the slowdown in the U.S. is going to be a lot worse because it's very much the epicenter of the financial market problems and the housing market problems."
• Molybdenum - (had a reader send us a  quote from Blackmont Capital's Commodity Price Update report from April.) "We continue to believe the price of moly will move up strongly from the current $33/lb level and reach $50/lb. However our $50/lb average for 2008 is too aggressive. Consequently, we are revising our 2008 forecast to $40/lb. This level requires an average price of $42.40/lb for the rest of the year. We continue to be positive on the moly market, especially now as China has implemented an export tax (20% on ferro-moly and 15% on other moly products) and export quota system (approximately 58 mm lb moly for 2008) on the metal. Antaike, a major metal research group in China, estimates that moly exports from China in 2008 will be approximately 66 mm lb (higher than the quota due to some contracts that were signed before the quota), i.e. 10% lower than 2007. Longer term, we expect the RMB’s appreciation to curtail Chinese expansion. As China produces approximately 30% of the world’s moly supply, we have increased our long term moly price, starting in 2012, by $1/lb or 7% to $16/lb."

  Chinese state-owned steel firms reportedly want to buy a stake in Australian iron ore miner Fortescue Metals Group Ltd, the latest overture by Beijing to wield more control over raw material supplies from the Australian outback. - more

• The first ship to load iron ore produced by Fortescue Metals Group will dock on Thursday at Port Hedland in Western Australia. It will leave with 170,000 tonnes of ore, bound for Baosteel in Shanghai. - more

  The Southern Africa Stainless Steel Development Association (Sassda) will this year again organise the stainless steel industry’s flagship biennial event: The Stainless Steel Awards. - more

  Coal in Eastern U.S. spot markets climbed to a record for a fifth consecutive week as European power producers sought additional supplies and domestic utilities began replenishing inventories. - more

  Nippon Steel Corp. and four other Japanese steelmakers will more than double cost cuts this fiscal year amid a surge in raw materials prices, the Nikkei English News reported, citing industry officials it didn't identify. - more

  March 2003 - Approving locations for LME warehouses - here

  Morning Briefing (8:00 AM CST is 2 PM in London)

• Indicators at 7:50 am CST show 3 month nickel selling around  $.05/lb lower. Metals are trading in another mixed bag this morning. Indicators show precious mostly lower, with base metals mostly higher. Indicator charts show nickel attempted to make a come back after an early morning slump, and while it did make it into the green for a time, it has since retreated. With the news of last week that stainless steel production is being curbed in China, and not because of the Olympics, traders will find it difficult to turn the market bullish without a major supply disruption. The single slightly bullish news? Nickel inventories stored in LME warehouses continue to decline, and could fall below 50,000/tonnes this week.    
• Forbes morning metal news - more

  Reports

• Natixis Metals Review - pdf here
• Haywood Metals & Mining Weekly - pdf here
• Brook Hunt Monthly Nickel Report - here
• Standard Bank Market Comment - here
• The World Bank Commodity Markets Review - pdf here

  Commodity Comments

• Ed Meir of MF Global Morning Comments - "LME metals came under pressure again on Friday, with prices never really recovering their form after the massive stock increases noted in copper earlier in the day. Once again, metals ignored both a weaker dollar and soaring energy prices to finish lower. Lead was particularly weak, falling to an 11-month low, while zinc dipped to a six-month trough. There was weakness in nickel as well, but tin and ali held on to modest gains. This morning, we are stronger across the board despite a stronger dollar and weaker energy prices. The dollar is up fractionally against the Euro, but has made more noticeable gains against both the Australian and New Zealand currencies. ... We suspect that with the relatively neutral Chinese trade data behind us, the strength we are seeing in metals so far today could recede over the course of the day, as a slightly stronger dollar exerts itself over the complex. In addition, energy prices are down modestly this morning, as the sector is severely overbought, so a likely correction here could unleash more selling in metals. ... Nickel is at $26,800, up $125; we have breached support at $27,800 for two days running, and now could see prices test support at $25,900, which lies along the support line extending back almost one year.. Support $25,900 and Resistance $27,800. (read Ed Meir's complete morning base metals report here)

  Cr series alloys markets have been running on a high track since the year beginning and ferrochrome price has presented overwhelming upswings in the January to April 2008 period, spurred by both robust demand and increased cost. - more

  Stainless steel maker Jindal Stainless has signed a joint venture agreement with Indonesia-based PT Antam Tbk to develop a nickel smelting and stainless steel facility in North Konawe, South East Sulawesi at an investment of Rs 3000 crore.. - more

  China imported 541,000 tonnes of chrome ore concentrate in March 2008, generally the same as that in March 2007 and up by 3.6% MoM. Total chrome ore imports in the January to March 2008 quarter amounted to 1.66 million tonnes up by 15.7% YoY. - more

  Japan's Imports Of Stainless In March 2008 Remained On Similar Level To That In Feb. / 08 - more

  The Goro Nickel company in New Caledonia says it will wait for another two months to see if an agreement to complete its project can be reached. - more

  Sudbury paying environmental price for ongoing mining activities; City not reaping enough financial benefits from mining boom, watchdogs say - more

  HS Frech Hoch AG of Switzerland announced that it supplies 136 containers, made from Outokumpu stainless steel, for a Swiss railway tunnel to house electromechanical equipment under demanding environmental conditions. - more

  Waiting in their cars or on broken sidewalks, the blue-jeaned crowd has turned out for a parade. But they could pass for mourners at a funeral. - more (note - hours after this story was posted, the little town of Picher, OK was nearly wiped out by a deadly F-4 tornado)

  Though campaigners are pleased that Prime Minister Helen Clark raised human rights issues with Philippines president Gloria Macapagal-Arroyo during a brief visit to the country earlier this month, the fight goes on against the mining companies accused of some of the abuses. New Zealander Paul Finlayson is at the centre of the protests in one remote area.  - more

  Morning Nickel Inventory and Price Statistics & Figures

• London Metal Exchange inventory figures - most days available here (if not check this daily report under nickel here) (charts)
• London Metal Exchange inventory changes - most days here (if not check this daily report under nickel here)
• Today's almost official prices here  /  Yesterday's actual LME official prices here (chart)
• Shanghai Jinchuan nickel price - available here   (charts)
• India Commodities Price - available here
• Please let us know if any of these links stop working, stop carrying info, or become available to subscriber's only

• Baltic Dry Index - plus 16 to 10,237. (chart)
• Live dollar trading today - here (in java) (chart of dollar index)
• The Associated Press reported today - "The U.S. trade deficit narrowed sharply in March as demand for imports fell by 2.9%, the largest one-month decline since December 2001..." The dollar weakened in response, but not by much, as the world market began to speculate that U.S. interest rates might be raised to combat inflation. Typically, a weaker dollar would be good for commodities trading, but except for oil going over $126/barrel for the first time ever earlier in the day, metals trading remained mixed. Base metals, except for record breaking tin, were mostly lower, with nickel spending another trading day in the cellar. For the day, according to the Dow Jones report below, three month nickel ended the day, and week, at $12.10/lb .
• Closing Metals Report from Dow Jones - more
• Have a safe and restful weekend!

  Soft demand drags metals lower, tin at new peak - more

  Commodity Comments

• "Nickel headed for the biggest loss in seven weeks as demand weakened in China, the world's largest user of the metal." - "Jinchuan Group Co., Asia's biggest nickel producer, lowered the price of the refined metal by 3 percent because of slowing demand for Nickel use in stainless steel, the Gansu, western China-based company said today on its Web site."  - more
• Courtesy/copyright Dow Jones - "A weaker dollar and record-high crude oil prices failed to arrest a slide in base metal prices that began overnight in Asia Friday .... LME nickel is trading lower due to follow-through technical selling after the poor close on Thursday, says a London trader. Adds "looks like it wants to try lower" having already fallen as much as 6.7%."

  ThyssenKrupp AG. is expected next Wednesday to release second-quarter net profit of 480 million euros, down 38 percent year on year on a profit slump in its stainless steel division. - more

  Russia's largest steel producer Severstal said Thursday it had finalized a deal to purchase the US-based Sparrows Point steel mill from ArcelorMittal for $810 million. - more

  The ceiling price on steel will be abolished effective Monday. - more

  The new rankings are out and Pittsburgh has been rated No. 1 when it comes to being sooty. The American Lung Association said the Pittsburgh area has the most polluted air in the nation, beating out the old standby smog capital of Los Angeles. - more

  Morning Briefing (8:00 AM CST is 2 PM in London)

• Indicators at 7:50 am CST show 3 month nickel selling around $.27/lb   lower. The move we said should happen, is happening. Although we have to be honest, the market has been finding a 'reason' to break higher for so long, we are surprised it has started to accept the reality of the supply and demand picture and started to retreat. Indicator charts show the market has moved below the TL3 line already this morning (chart), and Ed Meir's from MF Global is already working on establishing a new support line. Nickel buyers will now most likely take a wait and see attitude, and let the downward shift find a new footing. We have linked to the 6 month Kitco nickel chart below, to give you an idea where we are in relation to the last 6 months. For nickel and stainless steel users, the months prior to this chart are a nightmare involving $23.50/lb nickel, and one they would like to forget.        
• Bloomberg morning metal news - more
• Guardian - more

6 month nickel spot chart

1 year chart here / 5 year chart here

  Reports

• CommerzBank Commodities Daily - pdf here

  Commodity Comments

• Ed Meir of MF Global Morning Comments - "It was a peculiar day in the LME markets yesterday in that base metals finished mostly on a down note, (apart from tin) with copper prices falling to a one-week low, while lead lost $100 on the day. We say peculiar because the dollar receded from its highs, oil recovered from earlier losses, and even the US stock market finished higher as, ironically, it was the natural resource sector that lead equities higher. ...Although base metals are mixed at the time of this writing, we think the tone as it unfolds over the course of the next day or two will be lower, but this time with good reason.... The dollar is weaker today against the Euro today and this, along with firmer energy prices, is preventing what seems to be a more negative tone from setting in on metals.... Nickel is at $26,890, down $560; another close below $27,800 today (likely) will warrant a shift in our trading band as the charts indicate that the recent congestion band (within a larger congestion band ) has been decisively broken."(read Ed Meir's complete morning base metals report here)

  Global prices of low carbon ferro-chrome have continued their climbing trend. - more

  Whether China’s stainless steel CR market could regain its strength since May, is the main focus for Japan stainless steel mills. - more

• According to the latest figures, Japan exported 153,276 tons of stainless steel in March, up by 13.1 percent year-on-year but the figure decreased by 31.1 percent from last month. - more

  China's steel product exports jumped 14.9 percent month-on-month to 4.78 million tons in April 2008, according to preliminary statistics released today by the General Administration of Customs. - more

  Thompson Creek Metals said on Thursday its first-quarter profit eased slightly as higher molybdenum prices were offset by rising costs .... Cash costs per pound were $10.54 in the quarter, up from $8.59. - more (comment - for those hoping for $4/lb molybdenum again some day, we added the sentence about what it costs to mine now)

  Xinhua reported that Baosteel and Sichuan Mingda Group have signed long term cooperative agreement to jointly build ferrochrome strategic supply chain. - more

  Goro Nickel, owned by Brazilian mining giant Vale, has given itself until June or July to reach an agreement with opponents of its planned mine in New Caledonia. - more

  It is important to keep South Africa's mines at their highest possible production levels, which means reducing their power consumption from current levels is not an option, Public Enterprises Minister Alec Erwin said on Thursday. - more

  European Commission announces anti-dumping investigations on imports of wire rod from the People’s Republic of China, the Republic of Moldova and Turkey - more

  Small and medium enterprises doubt if the latest decision by the steel producers to cut prices would bring any immediate benefit to them. - more

  The Indian government on Wednesday agreed not to enforce its earlier decision to impose export duties on steel and steel products. - more

  US-based mini-mill Steel Dynamics announced Thursday that its wholly owned subsidiary OmniSource and Recycle South have executed a definitive agreement whereby OmniSource will acquire the remaining equity in Recycle South for about $500 million. - more

  We can wait no longer to publicly address the impending minor metals crisis in the North American market. - more

  (headline only) Sinosteel to construct 500,000-ton nickel ore mine in Indonesia

• (headline only) China's PPI surges 8.1 pct year-on-year in April
• (leader only) It is reported that construction steel market, which has been flourishing in China since February has seen an evident decrease and the market is likely to start its correction. - MySteel

  Morning Nickel Inventory and Price Statistics & Figures

• London Metal Exchange inventory figures - most days available here (if not check this daily report under nickel here) (charts)
• London Metal Exchange inventory changes - most days here (if not check this daily report under nickel here)
• Today's almost official prices here  /  Yesterday's actual LME official prices here (chart)
• Shanghai Jinchuan nickel price - available here   (charts)
• India Commodities Price - available here
• Please let us know if any of these links stop working, stop carrying info, or become available to subscriber's only

• For all pricing and inventory numbers, see our morning update for links
• Baltic Dry Index - plus 117 to 10,221. (chart)
• Live dollar trading today - here (in java) (chart of dollar index)
• From yesterday afternoon, US consumer credit increased by $15.3 billion for the month to $2.56 trillion. Bloomberg stated "Consumers are turning to credit cards after banks tightened standards for home-equity loans and other borrowing. The March figures brought U.S. consumer borrowing in the first quarter to $34 billion, the most since the first three months of 2001, when the economy entered its last official recession."." Borrowing more on credit cards, losing value in their homes, and inflation running rampant. Sounds like a simple recipe for more tough economic times ahead. But hey, 2 of the 3 US Presidential candidates want to cut your 18.4 cents a gallon federal gas tax for three months to make life a whole lot better this summer. Sheesh! Today, March wholesale trade inventories were expected to rise 0.5%, but fell 0.1%. New unemployment claims were expected to come in at 370,000, but came in lower at 365,000. Discount retailers and warehouse wholesalers came in with sales better than expected for April, helped by an extra day. As expected, the European Central Bank left interest rates alone, which caused the dollar to retreat, after trading earlier in the day at an eight week high. And oil backed off a tad today, after OPEC got nervous about the price escalation and possible economic backlash, and reassured the markets it could produce more if necessary. Expect more food crisis' globally as the Myanmar disaster drove rice even higher.
• Metals were a mixed bag today, with precious trading up, and except for tin, base metals sold lower. Nickel had an especially tough day, due in part to the news we posted on Tuesday, showing Chinese stainless steel producers were cutting production. The bulls had apparently been hoping the news would go away, but the bears pulled it out of the deck and played the card today. Nickel inventories give both a bearish picture, with a hint of bullishness. Since April 23rd, when LME warehouses recorded 52,308 tonnes on hand, a high for the year, they have slumped by 2-1/2%. This is bearish in the fact we simply have this much inventory, the most this century. The hint of bullishness comes from the fact that even with stainless steel producers not doing that well, the inventory is showing a consistency in its decline. It begs the question to be asked - where would inventories be if stainless steel production was going strong? Thus, the inventory numbers are starting to catch up with the bullish trader, at a time when the numbers are giving ever-so-slight hints of bullish behaviour. We do, however, disagree with the statement that an analyst at Barclay's made to Bloomberg this morning. We do not share his optimism that we will see a "recovery until late second quarter". Indicator charts show three month nickel slumped thru much of the day, and according to the Dow Jones report below, ended the day at $12.43/lb .   
• Closing Metals Report from Dow Jones - more

  Reports

  Commodity Comments

• (from this morning's Bloomberg report) "``Only European stainless-steel mills showed a demand pickup, not China and the U.S.,'' said Gayle Berry, an analyst at Barclays Capital in London. ``We don't expect a recovery until late second quarter.''

  (excerpt) The European Union executive said in the bloc's Official Journal it was investigating imports of steel wire rod from China, as well as from Moldova and Turkey, after a complaint from European manufacturers that they were being unfairly hurt by the competition. - more

  Kazakhstan's natural resources group Eurasian Natural Resources Corp. PLC said Thursday it has acquired a 50% stake in Xinjiang Tuoli Taihang Ferro-Alloy Co. Ltd., a Chinese ferroalloys producer, for $14.5 million in cash. - more (from press release - "ENRC is the holding company of a leading diversified natural resources group with integrated mining, processing, energy, logistical, and marketing operations. It is the world’s largest producer of ferrochrome, based on chrome content, the world’s sixth largest iron ore exporter by volume and world’s fifth largest supplier of traded alumina by volume (CRU and Heinz H. Pariser, 2006 data). For further information please see the Group’s website at www.enrc.com.)

  Resellers caught speeding by commission-hungry traffic cops could turn the situation into a sales opportunity, thanks to a new rugged removable RAID storage product being distributed by Hammer. - more

  Morning Briefing (8:00 AM CST is 2 PM in London)

• Indicators at 7:50 am CST show 3 month nickel selling around $.36/lb lower. Nickel is getting hit hard today.
• Bloomberg morning metal news - more

  Reports

• Metal Investments Commodities Daily - pdf here
• CommerzBank Commodities Daily - pdf here
• Standard Bank Market Comment - more
• New Cantech Ventures Monthly Moly Letter - pdf here

  Commodity Comments

• Ed Meir of MF Global Morning Comments - "Metal prices receded yesterday, taking their cue from a stronger dollar and ignoring, for the moment, yet another surge in crude oil markets where we saw prices tack on another $2/brl despite a set of rather bearish EIA inventory figures. The rise in energy prices has truly been remarkable, and is leading the general charge higher in a number of commodity sectors. Although some commodity groups occasionally divorce from the underlying upward trend in energy, as was the case with metals yesterday, it is hard to see a sustained divergence lasting for long.... The dollar is stronger once again this morning, hitting two-month highs against Euro and last trading at $1.5340. This is taking its toll today on both energy (down slightly by about 25c) and on metals, which have given up earlier gains and are now broadly lower.... Nickel is at $27,800, down $745; we have breached support at $27,800 and are watching to see the next two days of closes before adjusting our trading bands.(read Ed Meir's complete morning base metals report here)

  Nickel fell for a second day in London as mining companies ramped up production, adding to a surplus, and stainless-steel makers cut back on purchases. - more

  According to Southern Africa Stainless Steel Development Association, South African stainless steel industry grew by just over 1% in 2007 to a total apparent consumption of 197,070 tonnes as against 194 916 tonnes in 2006. SASSDA said that after a strong first half of 2007, growth in apparent consumption has slowed as a result of higher stock and material price levels and nickel price volatility. - more

  ArcelorMittal Inox confirmed the news that the company will increase its stainless steel price by 30 percent in response to increasing raw material costs, such as iron ore, nickel and coal, over the next six months.  - more

  Official figures out today are expected to show the thriving mining sector has delivered another boost to Australia's employment boom.... The Commonwealth Bank's Chief Economist, Michael Blythe, says the overall strength of the economy has caused unemployment to fall to its lowest level in more than 30 years. - more

  Morning Statistics

• London Metal Exchange inventory figures - most days available here (if not check this daily report under nickel here) (charts)
• London Metal Exchange inventory changes - most days here (if not check this daily report under nickel here)
• Today's almost official prices here  /  Yesterday's actual LME official prices here (chart)
• Shanghai Jinchuan nickel price - available here  (charts)

• Baltic Dry Index - plus 249 to 10,104. (chart)
• Nickel inventories - if interested in learning about yesterday's movements in LME stored nickel inventories, you can find the statistics here and here
• News today - The president of the Kansas City Fed reportedly stated in a speech earlier that the threat of inflation might force the Fed to raise interest rates soon. This hint was good for the dollar. The European Central Bank meet tomorrow and are expected to hold interest rates steady. If they do, it will be good for the Euro. Euro zone retail sales fell . Good for the dollar. Manufactured orders in Germany and UK factory production down. Good for the dollar. US pending home sales down 20.1% so far this year. Bad for the dollar. UK consumer confidence fell. Good for the dollar. And what is good for the dollar these days, is not so good for metals. Metals traded lower today, across the board. Indicator charts show nickel fell into the red early, and was never able to pull itself out. For the day, according to the Dow Jones report below, three month nickel ended the day at $12.95/lb . 
• For those frustrated by our inability to post the official prices daily, we have discovered that the BBC Daily Metal Price that we link to in the right column, posts "an" official price each day, very early in the day. They apparently post a number somewhere between the ask/bid price which for those who want a general number to track daily, is an excellent substitute for the real thing. We posted the bid price when we used to post, so if the bid was $25,000, the ask was typically around $25,050. BBC will post $25,025 as the official price. Divide this by 2204.6 and you have a very good official price per pound for the day. For those who actually buy nickel, and must know the exact price, apparently this is one price tag, you have to pay to see. Information is not only power, but in some cases, expensive.   
• Closing Metals Report from Dow Jones - more

  Reports

• Standard Bank Commodities Weekly - pdf here

  Courtesy Rusmet - Imports of raw nickel into China in March, amounted to 9,808 tonnes. This is lower than February's totals of 13,052 tonnes, but higher than March of last year (7737 tonnes). In the first quarter, imports of raw nickel amounted to 35,688 tonnes, higher than the 29,559 it recorded in the first quarter of 2007.

  The U.S. Demand for metal may be “bottoming out,” according to analysts at Desjardins Securities, who add there have been “several positive signs” that the worst may be over for the American economy. - more

  Despite sluggish buying, cold-rolled sheet, Type 304, could rise 10% this month to $4270 per ton, 18% higher than it was in December. - more

  Turkey customs has released chrome ore export figures for the first 4 months of April 2008. For the first 1/3 of 2008, Turkey has exported 590,165 tonnes of chrome ore, compared to 453,056 tonnes during the same 4 month period of 2007. The largest increase's were seen in shipments to Russia (+107506 tonnes), Sweden (+60,150 tonnes), and Germany (+13,468 tonnes). This offset decreases seen in exports to China (-44,596 tonnes) and India (-4,419 tonnes). For April, the countries receiving the most exports were China (106,394 tonnes), Russia (118,006 tonnes) and Sweden (15,500 tonnes). Turkey shipped a total of 175,861 tonnes of chrome ore in April of 2008. (TY CO)

  Japan's Chubu Electric is expected to agree to a 94 percent price hike for thermal coal deliveries from China's two largest coal miners, industry sources said on Wednesday. - more

  Russian miner Norilsk Nickel has appointed seven banks as bookrunners to arrange a $1.3 billion, three-year syndicated loan that will partly refinance a $6 billion loan it secured last year to back its acquisition of Canadian nickel mining company, LionOre Mining International, banking sources said. - more

  World Average Stainless Steel Prices - Latest Forecast From MEPS - here

  Morning Briefing (8:00 AM CST is 2 PM in London)

• Indicators at 7:50 am CST show 3 month nickel selling around $.13/lb lower. Precious and base metals are all trading in the red this morning, with the US dollar gaining on the Euro.     
• Bloomberg morning metal news - more
• Forbes - more
• Guardian - more

  Reports

• Metal Investments - US Dollar Which Direction - report here
• Standard Bank Market Comment - here
• Rand Merchant Bank Base Metals Weekly report - pdf here
• Wachovia Commodity Prices in Historical Perspective - pdf here

  Commodity Comments

• Ed Meir of MF Global Morning Comments -  "Buyers flowed back into the commodity markets yesterday thanks mainly to a resurgent crude complex and a flagging dollar, but it is really energy that is setting the pace. In fact, prices have been on a tear so far in May, (up almost $10/brl this month alone), and against such a backdrop, it is difficult to envision any of the commodity complexes going the other way. ... On the US macro front, we get first quarter productivity readings out later today, followed by a March pending homes index, as well as consumer credit readings (expected at $6 billion). Out of Europe, we had reports that retail sales fell by their largest amount on record in March, down some 1.6% from a year earlier, and almost double the prevailing estimates. (This could be what is behind the stronger dollar today). Things look particularly grim in the UK, which reported another big decline in manufacturing today, followed by a series of equally disappointing figures out earlier in the week.... Nickel is at $28,400, down $500, and quiet today." (read Ed Meir's complete morning base metals report here)

  Stainless steel surcharges for June were announced by AK Steel yesterday. Surcharges for 304 stainless steel fell from $1.6886/lb to $1.6701/lb, and 316 stainless steel surcharges fell from $2.6612/lb to $2.5978/lb. AK Steel issued the following average prices for April. Chrome rose from $2.2813/lb in March to $2.425/lb in April. Nickel fell from $33.40/lb in March to $32.85/lb in April. Molybdenum fell from $33.40/lb in March to $32.85/lb in April. Iron rose from $420/GT to $590/GT. more

  PT Sinosteel Indonesia Mining, a subsidiary of China's state-owned Sinosteel Corp., is in the initial stages of developing a 500,000-metric-ton nickel mine in central Sulawesi, with plans to mine nickel ore by the end of the year, a senior company official said Wednesday. - more

  India plans to boost 4.5 million tons stainless steel production capacity over the next five years and become the second largest stainless steel producer after China.  - more

  One liners

• Low grade laterite nickel ore imported into China from the Philippines and Indonesia have seen their prices drop over the past week.
• Japanese imports of stainless steel scrap dropped by 48.9% YoY to 10,727 tonnes in March 2008 as compared to March 2007.

  The North American steel industry has made significant gains in recent years but is now at a crossroads, says Keith Busse, the new chairman of the American Iron and Steel Institute. - more

  A drama which has occurred yesterday morning, to the mine of the Camp of the fir trees, came endeuiller the village the Thio one and the SLN. Yannick Mapéri, mechanic, were crushed by a back-digging shovel, then qu’it was in the car. L’employed died on the blow. - translated version here (original French here)

  Despite the credit crunch hitting large sections of corporate activity and global trade, the metals and mining sector is rolling ahead at full speed and the financing is moving with it. - more

  London Metal Exchange inventory figures - available here (charts) Yesterday's official prices here (chart)

  Shanghai Jinchuan nickel price - 235000-239500 plus 500 (charts)

• LME official prices - (since the London Metal Exchange apparently decides on a day to day basis whether it will update its site with the day's official prices either when it closes in the evening, or when it opens the next day, we have moved the day old price link to the morning update.)  
• Baltic Dry Index - plus 274 to 9,855. (chart)
• Nickel inventories - if interested in learning about yesterday's movements in LME stored nickel inventories, you can find the statistics here and here
• Here are some morning bylines that set the metals trading stage - Bloomberg -"Business bankruptcy filings in the U.S. increased 49 percent in April from a year earlier, the biggest gain so far in 2008, as the slowing economy prompted more companies to shut down." Guardian - "Fannie Mae on Tuesday cut its dividend and set plans to raise $6 billion in fresh funds to weather the severe U.S. housing market slump, driving its shares and the broader U.S. stock market lower. The company, the largest provider of U.S. home financing, also posted a deeper-than-expected quarterly loss, its third in a row, and said it expected more trouble ahead." Australian Business - "Here, and abroad, the risks are that inflation is re-emerging from its lengthy hibernation." Hemscott - "Dollar weakness has encouraged some investors to buy into hard commodities of late, in a bid to hedge against weakness in the U.S. currency and rising inflation." AFP - "Oil prices hit a record high 122 dollars on Tuesday as the market was driven by recent unrest in key producer Nigeria and a struggling US currency, traders said."  RTT News - "The U.S. dollar extended previous session's losses versus most of its major counterparts during early New York trading Tuesday."
• With the dollar down, it was to be expected that base and precious metals would probably trade well, and except for tin, they did not disappoint. Indicators shows nickel was trading nervously in the green for most of the morning, when it took a nearly 500 point dive in mid afternoon trading, before returning to the green. Supply hindering news that Xstrata's production of nickel dropped 15% last quarter apparently offset the demand hindering news from China that stainless steel production was being cut during May. Market appears to be trading between the TL2 and TL3 lines now, having fallen from the 'squeeze zone' here. Ed Meir of MF Global has resistance at $15.42/lb and support at $12.61/lb. Trading appears to be gearing itself up to test support. For the day, Dow Jones advises that three month nickel ended the day at $13.11/lb .
• Closing Metals Report from Dow Jones - more
• Thomson Financial - more

  Reports

• Patersons Nickel Sulphide Miners - pdf here (posted by Minesite - first 3 pages of info for investors, balance has some good info for nickel users)
• Behre Dolbear Global Mining News - here

  Commodity Comments

• (excerpt) "We are loathe to be long base metals in general at the moment as prices are elevated by speculative length and the prospects of ongoing production disruption and consumer demand is soft," said UBS analyst John Reade." - more
• Scotia Capital in their 'China Commodities Weekly' stated the following - in reference to China's outlook for the second half of 2008 , they stated, "The short answer is: we remain “nervous” for 2H/08. Although it might be too early to talk about the downside risk for Chinese economy and the global raw materials sectors, the risk should no longer be totally beyond investors’ radar screen." and for materials, they stated, "On sectors, we are now bullish on coking coal, iron ore, copper, zinc, aluminum, molybdenum, oil, methanol, DAP, urea, soybean, and hardwood pulp. We are neutral on wheat, corn, potash, ethylene, steel, and nickel." - more

  Balasore Alloys Ltd, a major player in the international Ferro Chrome market, has notched up an impressive growth of 435.59% in its net profit at Rs. 3329.11 lacs for the 15 months period ended 31st March, 2008,... - more

• Balasore Alloys Ltd has announced that the Board of Directors of the Company at its meeting held on April 30, 2008, has unanimously given their consent for the expansion plan. - more

  We are a Chinese company in Beijing, we have many long-term customers who need stainless steel waste material (304#) for long-terms, so we import the stainless steel waste material for long times. - more

  Morning Briefing (8:00 AM CST is 2 PM in London)

• Indicators at 7:50 am CST show 3 month nickel selling around $.02/lb higher . Indicator charts also show the trading of nickel has been erratic this morning , with sharp rally's followed by equally sharp drops. Market appears to be trying to find its legs after the holiday break. Reuters prints an article below confirming the stainless steel production cut-back's in China. Australian media is once again reporting China is ready to accept an 85% increase in iron ore from BHP and Xstrata, 20% more than China and Vale agreed to earlier.    
• Bloomberg morning metal news - more

  Reports

• CommerzBank Commodities Daily - pdf here
• S&P Commodity Perspective April 2008 - pdf here
• Canada Commodity Price Update - pdf here
• Reuters Commodity Week in Review - pdf here
• Steel Founders' Society Of America Casteel Reporter - pdf here

  Commodity Comments

• Ed Meir of MF Global Morning Comments - "LME metals rallied strongly on Friday, ignoring the stronger dollar, and focusing instead on better then expected macro news out of the US. In this regard, April non-farm payroll numbers fell by 20,000 jobs, substantially less than the 75,000 expected. In addition, factory orders rose by 1.4%, also better than the .2% forecast....The dollar is slightly weaker today against the Euro, and has been trapped in an extremely quiet trading range over the past two days. ..Nickel is at $28,525, up $125. We are still congesting within a very narrow range, but held the bottom of the range around $27,800 support on a closing basis. One gets the feeling that nickel is poised to move dramatically --one way or the other --after this prolonged period of sideways drift is over."(read Ed Meir's complete morning base metals report here)
• "Steel Market and Trade Outlook for the US in 2008" by David Phelps President, American Institute for International Steel -  here

  China's stainless steel makers are cutting output and building stocks this month as weak demand squeezes profits, and many big producers are chopping spot sales for May in half compared with April, trade and company sources said. - more

  India's stainless steel demand will expand by a slower-than-expected 5-7 percent in calendar year 2008 due to a spike in prices of key inputs like manganese and chrome, a senior industry official said on Tuesday. - more