Monthly Metal Review

Overview

The U.S. Federal Reserve pleased markets and metals by continuing its $85-billion monthly bond-buying program. The Fed will postpone any economic-stimulus retreat for at least another month and possibly into 2014. Chairman Ben Bernanke said the economy was improving but officials were wary. Fears include threats by Congressional Republicans to shut down the government in October over political issues.

Higher mortgage-interest rates slowed U.S. multifamily construction, but a permit surge for single-family homes indicated strengthening in housing-market recovery. August housing starts rose 0.9 percent to a seasonally adjusted 891,000 yearly. Multifamily-home starts dropped 11.1 percent to a 263,000-unit rate, but groundbreaking for single-family homes, the largest segment, increased 7.0 percent to a 628,000-unit pace. Auto sales surged 17 percent in August to a seasonally adjusted annual 16.1 million.

With German unemployment near a two-decade low, voters returned Chancellor Angela Merkel to office. Her euro zone-austerity policy was validated politically. The ZEW poll of economic sentiment had jumped from August’s 42.0 to 49.6 on an improved euro-zone outlook. The still-healing zone economy saw business activity grow as September orders arrived at the fastest pace in more than two years, economic surveys showed. They indicated a broad-based recovery with growth in both Germany and France.
The European Union said a bounce in exports and spending pulled the euro zone from recession in the second quarter. Stronger-than-expected growth from Germany to Portugal helped the economy expand 0.3 percent April-to-June, the EU’s statistics office said. Exports to the non-EU world rose sharply in the quarter, and government spending made its first positive contribution to the economy since late 2009.

Asian copper-smelting fees jumped nearly a third since July to the highest in more than two years as concentrate supplies expanded. A smelter in China reportedly received TC/RC of $100 per tonne and 10 cents per pound in mid-September for spot clean, standard South American concentrates. China’s con-centrate imports surged 37 percent through July to 5.4 million tonnes. July inflows reached 938,503 tonnes.

China’s growth rebound gathered September momentum, especially in exports. The Shanghai Stock Exchange Composite Index, a manufacturing measure, reached a six-month high. The preliminary HSBC-Markit Economics Purchasing Managers’ Index (PMI) exceeded expectations to register 51.2. Readings above 50 signal expansion. HSBC’s report on China showed increases in output, new orders, export orders and prices, whilst employment fell more slowly. Citigroup raised its third-quarter China-growth forecast to 7.8 percent from 7.4, while Deutsche Bank raised it from 7.7 percent to 7.9.

Anglo American abandoned the proposed Alaska Pebble-Mine copper-gold project. It will pay 50-percent partner Northern Dynasty Minerals a $300-million impairment charge but avoids a nasty political and regulatory struggle. Whilst Pebble could become the largest open-pit copper-gold mine, critics said waste would damage the valuable Bristol Bay salmon population. The deposit could be worth up to half a trillion dollars, with 55 billion pounds of copper, 76 million ounces gold, and 3.3 billion pounds of molybdenum. Northern Dynasty said it will continue.

Stung by a proposed 7.5-percent Mexican min-ing royalty, miners threatened to reduce investments. The world's biggest silver producer says it has been too generous to miners. The proposal is part of President Enrique Pena Nieto's plan to boost Mexico's low tax haul, close corporate loopholes and widen the tax base. Mexico charges miners a 30-percent income tax, lower than Brazil and Peru. The government also wants a quarterly fee for mines dormant for two years. The royalty could rise to as much as 8 percent for gold, silver and platinum miners.

Daily Prices

September 2013

Copper
Date(Fix.) ($/MT)
Average 7161.43
30-09-2013 7290.5
27-09-2013 7252.5
26-09-2013 7220.5
25-09-2013 7155
24-09-2013 7140.5
23-09-2013 7181
20-09-2013 7295
19-09-2013 7301.5
18-09-2013 7090.5
17-09-2013 7056.5
16-09-2013 7050
13-09-2013 7028.5
12-09-2013 7043.5
11-09-2013 7163
10-09-2013 7172
09-09-2013 7191.5
06-09-2013 7170.5
05-09-2013 7103
04-09-2013 7125.5
03-09-2013 7183.5
02-09-2013 7175.5
Silver
Date(Fix.) ($/OZ)
Average 22.56
30-09-2013 21.68
27-09-2013 21.61
26-09-2013 21.97
25-09-2013 21.68
24-09-2013 21.44
23-09-2013 21.68
20-09-2013 22.74
19-09-2013 23
18-09-2013 21.47
17-09-2013 21.97
16-09-2013 21.88
13-09-2013 21.72
12-09-2013 22.67
11-09-2013 22.91
10-09-2013 23.32
09-09-2013 23.64
06-09-2013 23.05
05-09-2013 23.52
04-09-2013 23.71
03-09-2013 24.21
02-09-2013 23.97
PM MEAN AM Gold
Date(Fix.) ($/OZ)
Average 1348.46
30-09-2013 1335.75
27-09-2013 1321.5
26-09-2013 1332.5
25-09-2013 1320.25
24-09-2013 1316.5
23-09-2013 1321.75
20-09-2013 1355.25
19-09-2013 1363.5
18-09-2013 1299.75
17-09-2013 1317.25
16-09-2013 1314.75
13-09-2013 1308.25
12-09-2013 1340.25
11-09-2013 1365.25
10-09-2013 1373
09-09-2013 1386
06-09-2013 1368.25
05-09-2013 1391.75
04-09-2013 1403.75
03-09-2013 1391.25
02-09-2013 1391.25
Date(Fix.) ($/OZ)
Average 1348.63
30-09-2013 1331.125
27-09-2013 1331.25
26-09-2013 1332.75
25-09-2013 1321.5
24-09-2013 1315.375
23-09-2013 1322.375
20-09-2013 1352.25
19-09-2013 1364.5
18-09-2013 1300.375
17-09-2013 1314.75
16-09-2013 1319.375
13-09-2013 1313.375
12-09-2013 1334.125
11-09-2013 1364.5
10-09-2013 1365.625
09-09-2013 1388
06-09-2013 1377.625
05-09-2013 1388.375
04-09-2013 1396.875
03-09-2013 1395.375
02-09-2013 1391.75
Date(Fix.) ($/OZ)
Average 1348.80
30-09-2013 1326.5
27-09-2013 1341
26-09-2013 1333
25-09-2013 1322.75
24-09-2013 1314.25
23-09-2013 1323
20-09-2013 1349.25
19-09-2013 1365.5
18-09-2013 1301
17-09-2013 1312.25
16-09-2013 1324
13-09-2013 1318.5
12-09-2013 1328
11-09-2013 1363.75
10-09-2013 1358.25
09-09-2013 1390
06-09-2013 1387
05-09-2013 1385
04-09-2013 1390
03-09-2013 1399.5
02-09-2013 1392.25
Lead
Date(Fix.) ($/MT)
Average 2088.40
30-09-2013 2075
27-09-2013 2083
26-09-2013 2061
25-09-2013 2042.5
24-09-2013 2045
23-09-2013 2043
20-09-2013 2075.5
19-09-2013 2092
18-09-2013 2053
17-09-2013 2023
16-09-2013 2039.5
13-09-2013 2063
12-09-2013 2083
11-09-2013 2120
10-09-2013 2125
09-09-2013 2134.5
06-09-2013 2151
05-09-2013 2122
04-09-2013 2122
03-09-2013 2151.5
02-09-2013 2152
Zinc
Date(Fix.) ($/MT)
Average 1848.43
30-09-2013 1876.5
27-09-2013 1880
26-09-2013 1860.5
25-09-2013 1841.5
24-09-2013 1845
23-09-2013 1843.5
20-09-2013 1858.5
19-09-2013 1876
18-09-2013 1825.5
17-09-2013 1823
16-09-2013 1825
13-09-2013 1833.5
12-09-2013 1824.5
11-09-2013 1838
10-09-2013 1837.5
09-09-2013 1845.5
06-09-2013 1868.5
05-09-2013 1840
04-09-2013 1838.5
03-09-2013 1868
02-09-2013 1868
Tin
Date(Fix.) ($/MT)
Average 22746.90
30-09-2013 23395
27-09-2013 23450
26-09-2013 23300
25-09-2013 23000
24-09-2013 22925
23-09-2013 22900
20-09-2013 23345
19-09-2013 23335
18-09-2013 22935
17-09-2013 22925
16-09-2013 22900
13-09-2013 22630
12-09-2013 22450
11-09-2013 22830
10-09-2013 22975
09-09-2013 23200
06-09-2013 22625
05-09-2013 22355
04-09-2013 21800
03-09-2013 21280
02-09-2013 21130
Nickel
Date(Fix.) ($/MT)
Average 13779.52
30-09-2013 13860
27-09-2013 13885
26-09-2013 13780
25-09-2013 13725
24-09-2013 13680
23-09-2013 13830
20-09-2013 14090
19-09-2013 14140
18-09-2013 13780
17-09-2013 13775
16-09-2013 13820
13-09-2013 13605
12-09-2013 13620
11-09-2013 13675
10-09-2013 13775
09-09-2013 13820
06-09-2013 13900
05-09-2013 13660
04-09-2013 13540
03-09-2013 13635
02-09-2013 13775
Cobalt
Date(Fix.) ($/MT)
Average 28607.38
30-09-2013 26600
27-09-2013 26050
26-09-2013 27200
25-09-2013 27600
24-09-2013 27700
23-09-2013 28000
20-09-2013 28500
19-09-2013 28200
18-09-2013 28250
17-09-2013 28700
16-09-2013 28000
13-09-2013 28500
12-09-2013 28500
11-09-2013 29605
10-09-2013 30400
09-09-2013 31000
06-09-2013 30100
05-09-2013 30750
04-09-2013 31000
03-09-2013 29000
02-09-2013 27100