Monthly Metal Review

Overview

This month, President Obama has signed into law a $787 billion stimulus package, raising hopes that the US economy will start to recover in the second half of 2009 and strengthen further in 2010. The plan includes $120 billion spending on infrastructure and $43 billion on energy. In such an economic downturn, metals are still mirroring declining equity market indices, with most prices hovering near the lows, apart for gold and silver still acting as safe havens. The latest economic indicators underline how much a stimulus package is needed. Over the past 12 months, the number of unemployed persons has increased by 4.1 million to 11.6 million and the unemployment rate has risen to 7.6%. The construction sector is still on a downward trend. Housing starts fell to post-war low in January, declining 16.8% in the month to a seasonally-adjusted annual rate of 466,000 units, a drop of 56% year on year. Residential permits fell by 4.8% month on month to 521,000, a decline of over 50% from a year ago. Besides, worldwide automotive industry remains headline news, substantially impacting lead, zinc and copper demand. In the U.S, both GM and Chrysler are asking for further government funding during the month to prevent bankruptcy. In the Eurozone, car and light vehicle production year on year, for 2008 decreased with the UK output falling by 5.8%, the French by 16.1% or the Spanish by 12.1%. In Japan, automakers have cut production sharply in response to collapsing demand. Toyota’s global output in January was 42.6% down from last year. On the same basis, Nissan’s output dropped by 54% and Honda’s by 33.5%. Japanese exports were down by 46% in January. The latest round of economic indicators has reinforced the negative outlook for the global economy and metals consumption. Economic indicators from around the world are showing a rapid contraction in manufacturing activity. In Japan, December’s industrial production (IP) posted a month-on-month decline of 9.6% and an alarming 22.5% decline in year-on-year terms. In Germany, the declines were smaller, although at 4.6% in month-on-month terms and 12.4% in year-on-year terms they show how much activity is falling in what was Europe’s manufacturing powerhouse. In the US, January’s IP figure fell by 1.8% in month-on-month terms and concluded the sixth consecutive month of contraction. Although the Lunar New Year holiday tends to distort Chinese economic data in January and February, the near 19% decline in imports is a cause for concern. This and other negative economic data underlines the grim outlook for the global economy.

Daily Prices

February 2009

Copper
Date(Fix.) ($/MT)
Average 3314.73
27-02-2009 3390
26-02-2009 3443
25-02-2009 3350.5
24-02-2009 3190.5
23-02-2009 3205.5
20-02-2009 3150
19-02-2009 3291
18-02-2009 3151.5
17-02-2009 3271
16-02-2009 3271.5
13-02-2009 3407
12-02-2009 3350.5
11-02-2009 3377
10-02-2009 3461
09-02-2009 3527
06-02-2009 3440.5
05-02-2009 3350.5
04-02-2009 3320
03-02-2009 3201
02-02-2009 3145.5
Silver
Date(Fix.) ($/OZ)
Average 13.41
27-02-2009 13.21
26-02-2009 13.48
25-02-2009 13.81
24-02-2009 14.39
23-02-2009 14.36
20-02-2009 14.28
19-02-2009 14.26
18-02-2009 14.05
17-02-2009 13.9
16-02-2009 13.55
13-02-2009 13.37
12-02-2009 13.34
11-02-2009 13.39
10-02-2009 12.96
09-02-2009 13.01
06-02-2009 12.89
05-02-2009 12.8
04-02-2009 12.4
03-02-2009 12.37
02-02-2009 12.43
PM MEAN AM Gold
Date(Fix.) ($/OZ)
Average -
27-02-2009 -
26-02-2009 -
25-02-2009 -
24-02-2009 -
23-02-2009 -
20-02-2009 -
19-02-2009 -
18-02-2009 -
17-02-2009 -
16-02-2009 -
13-02-2009 -
12-02-2009 -
11-02-2009 -
10-02-2009 -
09-02-2009 -
06-02-2009 -
05-02-2009 -
04-02-2009 -
03-02-2009 -
02-02-2009 -
Date(Fix.) ($/OZ)
Average -
27-02-2009 -
26-02-2009 -
25-02-2009 -
24-02-2009 -
23-02-2009 -
20-02-2009 -
19-02-2009 -
18-02-2009 -
17-02-2009 -
16-02-2009 -
13-02-2009 -
12-02-2009 -
11-02-2009 -
10-02-2009 -
09-02-2009 -
06-02-2009 -
05-02-2009 -
04-02-2009 -
03-02-2009 -
02-02-2009 -
Date(Fix.) ($/OZ)
Average 928.34
27-02-2009 952
26-02-2009 936.5
25-02-2009 978.5
24-02-2009 984.25
23-02-2009 985.75
20-02-2009 989
19-02-2009 684.133
18-02-2009 964
17-02-2009 968
16-02-2009 942.5
13-02-2009 935.5
12-02-2009 943.25
11-02-2009 938
10-02-2009 909.75
09-02-2009 895
06-02-2009 913
05-02-2009 920
04-02-2009 905
03-02-2009 904.5
02-02-2009 918.25
Lead
Date(Fix.) ($/MT)
Average 1100.53
27-02-2009 1025
26-02-2009 1050
25-02-2009 1008
24-02-2009 991.5
23-02-2009 1026
20-02-2009 1015.5
19-02-2009 1085
18-02-2009 1060
17-02-2009 1102.5
16-02-2009 1135.5
13-02-2009 1145
12-02-2009 1135
11-02-2009 1145
10-02-2009 1152
09-02-2009 1180
06-02-2009 1165
05-02-2009 1165
04-02-2009 1195
03-02-2009 1114
02-02-2009 1115.5
Zinc
Date(Fix.) ($/MT)
Average 1112.08
27-02-2009 1075.5
26-02-2009 1125.5
25-02-2009 1101
24-02-2009 1064
23-02-2009 1086
20-02-2009 1059.5
19-02-2009 1112.5
18-02-2009 1071
17-02-2009 1090
16-02-2009 1091
13-02-2009 1139.5
12-02-2009 1121.5
11-02-2009 1123.5
10-02-2009 1145.5
09-02-2009 1172.5
06-02-2009 1135.5
05-02-2009 1144
04-02-2009 1161
03-02-2009 1127
02-02-2009 1095.5
Tin
Date(Fix.) ($/MT)
Average 11039.25
27-02-2009 11000
26-02-2009 10950
25-02-2009 10950
24-02-2009 10510
23-02-2009 10840
20-02-2009 10800
19-02-2009 11150
18-02-2009 10900
17-02-2009 11010
16-02-2009 11110
13-02-2009 11400
12-02-2009 11205
11-02-2009 11150
10-02-2009 11150
09-02-2009 11300
06-02-2009 11200
05-02-2009 11225
04-02-2009 11450
03-02-2009 10875
02-02-2009 10610