Monthly Metal Review

Overview

In July, London Metal Exchange shareholders voted 64-3 to approve the $2.2 billion cash offer for the exchange by Hong Kong Exchanges and Clearing. HKEx vowed to keep open-outcry trading until at least 2015. Chief executive Martin Abbott stays.

Markets rallied in July as European Central Bank President Mario Draghi came out fighting. He pledged to do whatever it takes to protect the euro zone from collapse at all cost and made clear the central bank will deal with inflated Spanish and Italian borrowing expenses.

Spanish bond yields reached euro-era highs with 7.55 percent interest on 10-year bonds. Yields on German and British government debt hit record lows and return on US Treasury notes was lowest since the early 1800s as investors flocked to the lower-yield, safer instruments.

Strapped Spanish banks were bailed out as Italy and Greece simmered. But even AAA-rated countries were hurt. Moody's lowered its assessment of Germany, the Netherlands, and Luxembourg from stable to negative, saying they were at risk from their dealings with Greece, Spain, and Italy.

Before Central Bank President's declaration, the euro fell to a two-year low against the dollar. Commodities and stocks slid on fears of more Spanish debt troubles. Officials announced in July that Greece is unlikely to meet the terms of its current bailout.

Spanish mining-sector subsidies were reported to be cut 44 percent in 2012. Some 75 Spaniards protesting cuts to the mining industry were injured and eight arrested as thousands marched on the Ministry of Industry in Madrid.

US housing statistics were upbeat and new jobless claims decreased, but unemployment in the country stayed high, at 8.2 percent. Higher food prices were forecast as farmers suffer the worst US drought in 50 years. Some 3,000 counties in 29 states became federal disaster areas as corn and other crops were ravaged in searing heat. Federal Reserve Chairman Ben Bernanke said the Fed would act to boost the economy when needed.

The International Monetary Fund said that China's economy is heading for a soft landing and that the yuan is now only moderately undervalued.

Peugeot Citroen is to cashier 8 percent of its French workforce and Deutsche Bank will have to shed 1,000 employees. Britain's economy shrank 0.7 percent in Q2. In happier news, BMW will spend $388 million to expand Mini production in British factories and some 1,500 new staff will build new, long-range helicopters in Somerset.

South Africa President Jacob Zuma warned against a trade and resource imbalance with China. China's President Hu Jintao offered a $20 billion credit line to African nations. China offered $10 billion in loans to Latin America in June.

They will not call it a stimulus program, but British officials plan to spend $14 billion to upgrade the national railway system, including electrification of the Midland Main Line. Work is two years off, but an anticipatory jolt could help bolster the economy.

Daily Prices

July 2012

Copper
Date(Fix.) ($/MT)
Average 7589.39
31-07-2012 7581
30-07-2012 7520
27-07-2012 7555
26-07-2012 7510.5
25-07-2012 7441
24-07-2012 7396
23-07-2012 7387
20-07-2012 7625
19-07-2012 7765
18-07-2012 7596
17-07-2012 7671
16-07-2012 7636
13-07-2012 7689.5
12-07-2012 7510
11-07-2012 7525.5
10-07-2012 7556
09-07-2012 7520.5
06-07-2012 7600
05-07-2012 7761.5
04-07-2012 7695.5
03-07-2012 7777
02-07-2012 7647.5
Silver
Date(Fix.) ($/OZ)
Average 27.43
31-07-2012 28.2
30-07-2012 27.64
27-07-2012 27.73
26-07-2012 27.81
25-07-2012 27.11
24-07-2012 26.93
23-07-2012 26.95
20-07-2012 27.07
19-07-2012 27.45
18-07-2012 27.03
17-07-2012 27.42
16-07-2012 27.05
13-07-2012 27.48
12-07-2012 26.67
11-07-2012 27.11
10-07-2012 27.57
09-07-2012 27.24
06-07-2012 27.32
05-07-2012 28.33
04-07-2012 28.11
03-07-2012 27.92
02-07-2012 27.36
PM MEAN AM Gold
Date(Fix.) ($/OZ)
Average 1592.78
31-07-2012 1622.75
30-07-2012 1616.5
27-07-2012 1618.75
26-07-2012 1603
25-07-2012 1587.5
24-07-2012 1573
23-07-2012 1571.5
20-07-2012 1583
19-07-2012 1580
18-07-2012 1579.5
17-07-2012 1595
16-07-2012 1584
13-07-2012 1579
12-07-2012 1565.5
11-07-2012 1576.5
10-07-2012 1594.5
09-07-2012 1581
06-07-2012 1591.75
05-07-2012 1616.75
04-07-2012 1617
03-07-2012 1608.5
02-07-2012 1596.25
Date(Fix.) ($/OZ)
Average 1593.35
31-07-2012 1622.375
30-07-2012 1617.125
27-07-2012 1618.5
26-07-2012 1610.5
25-07-2012 1594.25
24-07-2012 1578.125
23-07-2012 1571.875
20-07-2012 1579.625
19-07-2012 1582
18-07-2012 1577.375
17-07-2012 1590.25
16-07-2012 1586.875
13-07-2012 1587.25
12-07-2012 1560.875
11-07-2012 1576.75
10-07-2012 1594.875
09-07-2012 1583
06-07-2012 1589.375
05-07-2012 1610.375
04-07-2012 1615.25
03-07-2012 1613
02-07-2012 1594.125
Date(Fix.) ($/OZ)
Average 1593.92
31-07-2012 1622
30-07-2012 1617.75
27-07-2012 1618.25
26-07-2012 1618
25-07-2012 1601
24-07-2012 1583.25
23-07-2012 1572.25
20-07-2012 1576.25
19-07-2012 1584
18-07-2012 1575.25
17-07-2012 1585.5
16-07-2012 1589.75
13-07-2012 1595.5
12-07-2012 1556.25
11-07-2012 1577
10-07-2012 1595.25
09-07-2012 1585
06-07-2012 1587
05-07-2012 1604
04-07-2012 1613.5
03-07-2012 1617.5
02-07-2012 1592
Lead
Date(Fix.) ($/MT)
Average 1876.39
31-07-2012 1946.5
30-07-2012 1909
27-07-2012 1907.5
26-07-2012 1870
25-07-2012 1849
24-07-2012 1840.5
23-07-2012 1850.5
20-07-2012 1899
19-07-2012 1920.5
18-07-2012 1872.5
17-07-2012 1889
16-07-2012 1851
13-07-2012 1874.5
12-07-2012 1830
11-07-2012 1861.5
10-07-2012 1863
09-07-2012 1839.5
06-07-2012 1858
05-07-2012 1901.5
04-07-2012 1895.5
03-07-2012 1900.5
02-07-2012 1851.5
Zinc
Date(Fix.) ($/MT)
Average 1851.18
31-07-2012 1849.5
30-07-2012 1840.5
27-07-2012 1835
26-07-2012 1809
25-07-2012 1805
24-07-2012 1800
23-07-2012 1799
20-07-2012 1851
19-07-2012 1883
18-07-2012 1852.5
17-07-2012 1885.5
16-07-2012 1857.5
13-07-2012 1870
12-07-2012 1833
11-07-2012 1836
10-07-2012 1852.5
09-07-2012 1840
06-07-2012 1855
05-07-2012 1895
04-07-2012 1897
03-07-2012 1905
02-07-2012 1875
Tin
Date(Fix.) ($/MT)
Average 18612.50
31-07-2012 18220
30-07-2012 18100
27-07-2012 18225
26-07-2012 17700
25-07-2012 17800
24-07-2012 17840
23-07-2012 18455
20-07-2012 18990
19-07-2012 19275
18-07-2012 18700
17-07-2012 18875
16-07-2012 18745
13-07-2012 18800
12-07-2012 18475
11-07-2012 18735
10-07-2012 18675
09-07-2012 18600
06-07-2012 18905
05-07-2012 19200
04-07-2012 19095
03-07-2012 19130
02-07-2012 18935
Nickel
Date(Fix.) ($/MT)
Average 16160.45
31-07-2012 16000
30-07-2012 16020
27-07-2012 15860
26-07-2012 15930
25-07-2012 15715
24-07-2012 15605
23-07-2012 15650
20-07-2012 15830
19-07-2012 16180
18-07-2012 15985
17-07-2012 16125
16-07-2012 15960
13-07-2012 16155
12-07-2012 15840
11-07-2012 16195
10-07-2012 16180
09-07-2012 16245
06-07-2012 16460
05-07-2012 16915
04-07-2012 17000
03-07-2012 17105
02-07-2012 16575
Cobalt
Date(Fix.) ($/MT)
Average 29120.45
31-07-2012 31250
30-07-2012 30750
27-07-2012 31000
26-07-2012 28200
25-07-2012 28000
24-07-2012 28000
23-07-2012 28200
20-07-2012 29000
19-07-2012 30000
18-07-2012 29000
17-07-2012 28000
16-07-2012 28500
13-07-2012 28850
12-07-2012 28250
11-07-2012 29000
10-07-2012 29000
09-07-2012 29000
06-07-2012 28650
05-07-2012 29000
04-07-2012 29000
03-07-2012 30000
02-07-2012 30000