Monthly Metal Review

Overview

China’s manufacturing surged in August, fueled by domestic demand. Output also improved at Euro-pean factories and services companies. The preliminary China purchasing managers index (PMI) by HSBC and Markit Economics jumped from 47.7 in July to August’s 50.1 reading. Markit’s Eurozone preliminary manufacturing PMI rose to a 26-month high of 51.3 from July’s 50.3. Readings above 50 indicate expansion. Markit said the surveys show modest, still-fragile return to growth.

Eurozone industrial production rose by 0.3 percent on-year in June after six declining quarters, data released in August show. Growth was largely due to solid, 0.7-percent growth in Germany and a 0.5-percent bounce in France’s output. Contraction in Italy, Spain and Greece slowed and Portugal grew by 1.1 percent. Manufacturing in Germany, France, and Italy accounts for two-thirds of the bloc's output.

The London Metal Exchange (LME) along with the Hong Kong Exchanges (HKEx) reportedly has chosen Garry Jones, former chief executive of NYSE Liffe to be at the helm of the LME. He will be succeeding outgoing CEO Martin Abbott by year’s end. According to Charles Li, HKEx chief executive, Mr. Jones’s job will be to, “steady the ship and bring it up to the next level”.

Hong Kong Exchanges and Clearing, owner of the LME, reported a 10-percent rise on-year in second-quarter net profit to $151 million on rising average daily turnover value and revenue streams from the LME. First-half net profit was up 5 percent. HKEx CEO Charles Li said LME’s base-metals contracts maintain an 80- to 90-percent market share. YTD average daily volume was 685,965 lots daily, up 8 per-cent on-year.

The UK economy posted 0.6 percent second-quarter growth. The Markit/CIPS UK services PMI jumped from June’s 56.9 to 60.2 in July, highest since 2006. Britain’s construction sector grew in July at the fastest rate in three years; factories showed the strongest reading since 2011.

U.S. homebuilder confidence rose in August to the brightest level since 2005, Bloomberg reported, despite July’s on-month 13.4-percent drop in the rate of new single-family home sales. The fallback was blamed largely on reaction to higher mortgage-interest rates. On-year sales were 6.8-percent higher. New-home construction climbed in July; housing starts, led by multifamily projects, rose 5.9 percent to an annual 896,000-unit rate. Housing starts surged on-year 20.9 percent. Building permits were up 2.7 percent. Long-term interest rates rose by more than a point in three months. Unemployment dropped to 7.4 percent in July from 7.6.

BHP Billiton cut long-term bonuses for its management committee and chief executives by 35 percent. It said net profit for fiscal 2013 (ending June 30) plunged 29.5 percent to $10.88 billion year-over-year. Revenue fell 8.7 percent to $65.97 billion as weaker commodity prices and slower global growth more than offset cost reductions.

Australia’s high court upheld a minerals resource rent tax (MRRT), rejecting a challenge by Fortescue Metals. The MRRT imposes a 22.5-percent tax on profits over $75 million derived from extraction of iron ore and coal.

Vale’s second-quarter profit plunged on $2.78 billion in foreign-exchange losses on currency derivatives and debt. Net income tumbled 84 percent to $424 million against $2.6-billion profit a year ago.

Daily Prices

August 2013

Copper
Date(Fix.) ($/MT)
Average 7182.26
30-08-2013 7095
29-08-2013 7210.5
28-08-2013 7236
27-08-2013 7300.5
23-08-2013 7300.5
22-08-2013 7340.5
21-08-2013 7236
20-08-2013 7265.5
19-08-2013 7285.5
16-08-2013 7335.5
15-08-2013 7228
14-08-2013 7272.5
13-08-2013 7281
12-08-2013 7246
09-08-2013 7186
08-08-2013 7121.5
07-08-2013 6892
06-08-2013 7026.5
05-08-2013 6950.5
02-08-2013 7019
01-08-2013 6999
Silver
Date(Fix.) ($/OZ)
Average 21.84
30-08-2013 23.64
29-08-2013 24.11
28-08-2013 24.74
27-08-2013 24.29
23-08-2013 23.06
22-08-2013 23.07
21-08-2013 22.94
20-08-2013 22.87
19-08-2013 23.23
16-08-2013 22.83
15-08-2013 22
14-08-2013 21.5
13-08-2013 21.46
12-08-2013 20.835
09-08-2013 20.31
08-08-2013 19.73
07-08-2013 19.27
06-08-2013 19.78
05-08-2013 19.76
02-08-2013 19.46
01-08-2013 19.72
PM MEAN AM Gold
Date(Fix.) ($/OZ)
Average 1345.05
30-08-2013 1392.75
29-08-2013 1406.25
28-08-2013 1425.5
27-08-2013 1411
23-08-2013 1374.5
22-08-2013 1370.5
21-08-2013 1360
20-08-2013 1365.75
19-08-2013 1375.25
16-08-2013 1360.75
15-08-2013 1339.5
14-08-2013 1323.25
13-08-2013 1334
12-08-2013 1325.75
09-08-2013 1305.5
08-08-2013 1287.75
07-08-2013 1275.5
06-08-2013 1292
05-08-2013 1311
02-08-2013 1285.75
01-08-2013 1323.75
Date(Fix.) ($/OZ)
Average 1346.07
30-08-2013 1393.75
29-08-2013 1407
28-08-2013 1422.5
27-08-2013 1415.125
23-08-2013 1376
22-08-2013 1373
21-08-2013 1361.5
20-08-2013 1369.125
19-08-2013 1370.125
16-08-2013 1365
15-08-2013 1334.625
14-08-2013 1324.875
13-08-2013 1331.25
12-08-2013 1333.375
09-08-2013 1307.25
08-08-2013 1293
07-08-2013 1279
06-08-2013 1286.25
05-08-2013 1307.875
02-08-2013 1297.5
01-08-2013 1319.375
Date(Fix.) ($/OZ)
Average 1347.10
30-08-2013 1394.75
29-08-2013 1407.75
28-08-2013 1419.5
27-08-2013 1419.25
23-08-2013 1377.5
22-08-2013 1375.5
21-08-2013 1363
20-08-2013 1372.5
19-08-2013 1365
16-08-2013 1369.25
15-08-2013 1329.75
14-08-2013 1326.5
13-08-2013 1328.5
12-08-2013 1341
09-08-2013 1309
08-08-2013 1298.25
07-08-2013 1282.5
06-08-2013 1280.5
05-08-2013 1304.75
02-08-2013 1309.25
01-08-2013 1315
Lead
Date(Fix.) ($/MT)
Average 2173.45
30-08-2013 2160.5
29-08-2013 2200
28-08-2013 2229.5
27-08-2013 2205.5
23-08-2013 2197
22-08-2013 2227.5
21-08-2013 2220
20-08-2013 2229.5
19-08-2013 2238
16-08-2013 2224.5
15-08-2013 2190
14-08-2013 2169
13-08-2013 2178
12-08-2013 2180
09-08-2013 2152
08-08-2013 2120
07-08-2013 2090
06-08-2013 2118
05-08-2013 2112
02-08-2013 2111.5
01-08-2013 2090
Zinc
Date(Fix.) ($/MT)
Average 1894.62
30-08-2013 1877.5
29-08-2013 1901
28-08-2013 1933
27-08-2013 1937.5
23-08-2013 1932
22-08-2013 1942
21-08-2013 1936.5
20-08-2013 1940
19-08-2013 1955.5
16-08-2013 1950
15-08-2013 1905
14-08-2013 1902.5
13-08-2013 1904.5
12-08-2013 1908
09-08-2013 1905.5
08-08-2013 1845
07-08-2013 1801
06-08-2013 1829
05-08-2013 1823
02-08-2013 1836
01-08-2013 1822.5
Tin
Date(Fix.) ($/MT)
Average 21628.81
30-08-2013 21230
29-08-2013 21515
28-08-2013 21650
27-08-2013 21700
23-08-2013 22000
22-08-2013 22000
21-08-2013 22025
20-08-2013 22025
19-08-2013 21850
16-08-2013 21875
15-08-2013 21525
14-08-2013 21825
13-08-2013 22050
12-08-2013 22105
09-08-2013 22150
08-08-2013 21650
07-08-2013 21180
06-08-2013 21295
05-08-2013 21130
02-08-2013 20870
01-08-2013 20555
Nickel
Date(Fix.) ($/MT)
Average 14282.14
30-08-2013 13755
29-08-2013 14070
28-08-2013 14240
27-08-2013 14325
23-08-2013 14345
22-08-2013 14435
21-08-2013 14450
20-08-2013 14565
19-08-2013 14655
16-08-2013 14685
15-08-2013 14660
14-08-2013 14725
13-08-2013 14735
12-08-2013 14775
09-08-2013 14450
08-08-2013 14160
07-08-2013 13585
06-08-2013 13890
05-08-2013 13835
02-08-2013 13820
01-08-2013 13765
Cobalt
Date(Fix.) ($/MT)
Average 27121.67
30-08-2013 28800
29-08-2013 27750
28-08-2013 27750
27-08-2013 27750
23-08-2013 27125
22-08-2013 27010
21-08-2013 27250
20-08-2013 27100
19-08-2013 28400
16-08-2013 27900
15-08-2013 27500
14-08-2013 27000
13-08-2013 26000
12-08-2013 27000
09-08-2013 27000
08-08-2013 26500
07-08-2013 26500
06-08-2013 27000
05-08-2013 25000
02-08-2013 26900
01-08-2013 26320