Monthly Metal Review

Overview

China-Japan relations frayed and old grievances resurfaced as tensions rose over disputed islands in the East China Sea. Some Japanese plants and businesses in China closed after mass demonstrations and violence. Japanese auto sales in China fell sharply and a trade war loomed. China threatened to sell Japanese debt just as the BoJ began economic stimulus, adding $127 billion to its quantitative-easing program.

Despite a 22-percent mineworker wage hike that ended a strike at Lonmin's platinum operation in South Africa, labor-management strife countrywide continues. Strikes have spread to gold mines and other platinum mines. Gold Fields, Anglo American Platinum, AngloGold Ashanti, and Xstrata operations were impacted.

India's Goa state banned all mining after a com-mission said the province has lost more than $6 billion to illegal mining. The government-backed panel said mining-area water and air pollution was not being controlled.

Spain's 10-year borrowing rate rose to 6.8 per-cent in early September but then fell to 5.666 percent, the lowest rate since January, in a late-month treasury auction of bonds worth $6.27 billion. Investor confidence has increased since European Central Bank President Mario Draghi said it will buy Spanish and Italian government bonds in unlimited quantities, if necessary.

Markets rallied late in September, reinforced by America's QE3 plan. Federal Reserve Chairman Ben Bernanke stated the Fed will pump an extra $40 billion into the U.S economy each month. He indicated the bail-out would not stop until labor markets improve. Gold hit a six-month high, breaking the $1,700 barrier.

Chalco dropped a $926 million bid to buy an up-to 60 percent stake in Mongolia-focused coal producer SouthGobi Resources from Turquoise Hill, formerly Ivanhoe Mines. The state-controlled Chinese aluminum giant faced strong opposition from Mongolian officials and regula-tory approval was doubtful. Chalco's April bid prompted a law capping foreign ownership at 49 percent for companies in mining and other stra-tegic sectors. Mongolia suspended SouthGobi's mining license in June.

China's industrial production grew 8.9 percent in August on year, down from July's 9.2-percent factory output. This was less than expected and helped usher in September's economic stimuli. Copper hit a four-month high in early September on news of that $158-billion infrastructure program of rail projects, highways, waterways and water-treatment plants. The Chinese government also approved 25 subway-building and urban-rail projects worth billions of dollars.

Inflation climbed to 2 percent in China, pri-marily on higher food prices, from July's 1.8 percent. The China Development Bank began selling $1.6 billion in asset-backed securities in the first such deal since China barred securitisa-tion in 2009. Regulators set a 2012 $7.9-billion limit on banks converting assets into securities.

Daily Prices

September 2012

Copper
Date(Fix.) ($/MT)
Average 8068.38
28-09-2012 8267.5
27-09-2012 8175
26-09-2012 8130.5
25-09-2012 8235.5
24-09-2012 8155.5
21-09-2012 8282
20-09-2012 8202
19-09-2012 8323
18-09-2012 8224
17-09-2012 8293
14-09-2012 8400.5
13-09-2012 8055.5
12-09-2012 8100.5
11-09-2012 8080
10-09-2012 8032
07-09-2012 7844
06-09-2012 7670.5
05-09-2012 7606.5
04-09-2012 7640.5
03-09-2012 7649.5
Silver
Date(Fix.) ($/OZ)
Average 33.61
28-09-2012 34.65
27-09-2012 33.95
26-09-2012 33.88
25-09-2012 34.01
24-09-2012 33.73
21-09-2012 34.69
20-09-2012 34.25
19-09-2012 34.65
18-09-2012 34.06
17-09-2012 34.53
14-09-2012 34.71
13-09-2012 33
12-09-2012 33.93
11-09-2012 33.52
10-09-2012 33.6
07-09-2012 32.22
06-09-2012 32.87
05-09-2012 32.1
04-09-2012 32.08
03-09-2012 31.74
PM MEAN AM Gold
Date(Fix.) ($/OZ)
Average 1741.93
28-09-2012 1781
27-09-2012 1755.25
26-09-2012 1763.75
25-09-2012 1766.75
24-09-2012 1758.5
21-09-2012 1773.75
20-09-2012 1760
19-09-2012 1774.5
18-09-2012 1756.75
17-09-2012 1767.25
14-09-2012 1772.5
13-09-2012 1730.5
12-09-2012 1742.75
11-09-2012 1731
10-09-2012 1732.75
07-09-2012 1696
06-09-2012 1708.5
05-09-2012 1689.5
04-09-2012 1691.5
03-09-2012 1686
Date(Fix.) ($/OZ)
Average 1743.19
28-09-2012 1778.5
27-09-2012 1759.125
26-09-2012 1754.25
25-09-2012 1769.125
24-09-2012 1760.5
21-09-2012 1779.125
20-09-2012 1759.25
19-09-2012 1770.625
18-09-2012 1763.125
17-09-2012 1768.625
14-09-2012 1774
13-09-2012 1731.875
12-09-2012 1739.875
11-09-2012 1733.875
10-09-2012 1732.375
07-09-2012 1712
06-09-2012 1704.75
05-09-2012 1689.75
04-09-2012 1694.25
03-09-2012 1688.75
Date(Fix.) ($/OZ)
Average 1744.45
28-09-2012 1776
27-09-2012 1763
26-09-2012 1744.75
25-09-2012 1771.5
24-09-2012 1762.5
21-09-2012 1784.5
20-09-2012 1758.5
19-09-2012 1766.75
18-09-2012 1769.5
17-09-2012 1770
14-09-2012 1775.5
13-09-2012 1733.25
12-09-2012 1737
11-09-2012 1736.75
10-09-2012 1732
07-09-2012 1728
06-09-2012 1701
05-09-2012 1690
04-09-2012 1697
03-09-2012 1691.5
Lead
Date(Fix.) ($/MT)
Average 2169.28
28-09-2012 2300
27-09-2012 2265.5
26-09-2012 2273
25-09-2012 2285
24-09-2012 2241.5
21-09-2012 2276.5
20-09-2012 2229
19-09-2012 2271.5
18-09-2012 2235
17-09-2012 2243
14-09-2012 2243.5
13-09-2012 2112.5
12-09-2012 2120.5
11-09-2012 2101.5
10-09-2012 2117.5
07-09-2012 2061.5
06-09-2012 2036
05-09-2012 1991.5
04-09-2012 1999
03-09-2012 1982
Zinc
Date(Fix.) ($/MT)
Average 2002.10
28-09-2012 2088
27-09-2012 2052
26-09-2012 2068
25-09-2012 2092
24-09-2012 2046
21-09-2012 2097
20-09-2012 2068.5
19-09-2012 2105
18-09-2012 2049.5
17-09-2012 2054
14-09-2012 2073
13-09-2012 1984.5
12-09-2012 1999
11-09-2012 1976.5
10-09-2012 1963.5
07-09-2012 1915
06-09-2012 1873
05-09-2012 1844.5
04-09-2012 1857
03-09-2012 1836
Tin
Date(Fix.) ($/MT)
Average 20696.75
28-09-2012 21655
27-09-2012 20950
26-09-2012 20995
25-09-2012 21395
24-09-2012 20410
21-09-2012 21300
20-09-2012 20575
19-09-2012 21550
18-09-2012 21305
17-09-2012 21630
14-09-2012 21415
13-09-2012 20325
12-09-2012 21050
11-09-2012 20725
10-09-2012 20275
07-09-2012 19960
06-09-2012 19560
05-09-2012 19525
04-09-2012 19660
03-09-2012 19675
Nickel
Date(Fix.) ($/MT)
Average 17215.50
28-09-2012 18520
27-09-2012 18155
26-09-2012 17930
25-09-2012 18275
24-09-2012 17810
21-09-2012 18005
20-09-2012 17600
19-09-2012 17780
18-09-2012 17800
17-09-2012 17955
14-09-2012 17525
13-09-2012 16680
12-09-2012 16825
11-09-2012 16625
10-09-2012 16525
07-09-2012 16155
06-09-2012 16105
05-09-2012 15835
04-09-2012 16100
03-09-2012 16105
Cobalt
Date(Fix.) ($/MT)
Average 28967.50
28-09-2012 20250
27-09-2012 29000
26-09-2012 30000
25-09-2012 29000
24-09-2012 29500
21-09-2012 29500
20-09-2012 29000
19-09-2012 29000
18-09-2012 28500
17-09-2012 26500
14-09-2012 29750
13-09-2012 29750
12-09-2012 29750
11-09-2012 30000
10-09-2012 30000
07-09-2012 30000
06-09-2012 29850
05-09-2012 30000
04-09-2012 30000
03-09-2012 30000