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  • Gold ETPs Fall Below 2000 Tons For The First Time Since 2010

    UNITED STATES November 29 2013 11:23 AM

    NEW YORK (Scrap Register): Gold ETP holdings are down 21 tonnes for the year-to-date, taking total metal held in trust to below 2000 tonnes for the first time since 2010.

    Indeed, outflows have gained momentum over this week, as gold prices have fallen, and maintain the scope to further exacerbate the downside.

    According to Barclays, gold prices failed to find support from the October FOMC minutes and dipped below $1250/oz, levels last seen in July as the dollar strengthened against the euro, and 10y US Treasuries rallied while equity markets retained their strength.

    External markets continue to create an unfavourable backdrop for gold, while the physical market is lending little support during the seasonally strong period for consumption.

    "Much of the downward pressure in platinum continues to stem from weaker gold prices, and, relatively, we believe gold has the weaker floor, thus, leaving scope for the platinum gold spread to widen," Barclays added.

    Tags: Gold ETPs

    Tags: Gold, Gold Prices
    Nov 29 9:55 AM | Link | Comment!
  • Turning Point For Tin Prices Focused At SMM Industry Chain Summit

    SHANGHAI, Aug. 7 (NYSE:SMM) - The 2013 SMM Tin Industry Chain Summit will be held in Shenzhen September 1-3, to focus on tin price trends.

    Tin market saw a sag in both consumption and prices in the first half of 2013 with global economy recovering slowly. However, LME tin prices climbed above $21,000 a ton lately, while buyers in domestic spot tin markets rushed to purchase, causing market players to wonder whether tin price is near a turning point.

    Indonesian tin trader PT Timah cut its tin sales prediction for 2013 to 28,000 tons given sluggish consumption, a decline of 20% compared with last year and down 10% from the original target. Sources from the company disclosed that it might possibly suspend tin exports if necessary.

    China's refined tin output only increased 5.7% year-on-year to 74,218 tons in H1 this year, while refined tin and tin alloy imports dropped as much as 36% to 9,066 tons. Tin ore and concentrate imports surged 154.1% to 46,460 tons in the same period.

    Profits were squeezed throughout nonferrous metals industry due to noticeable increases in costs and limited sales growth. The National Bureau of Statistics (NASDAQ:NBS) reported a 9% year-on-year profit decline in nonferrous metals mining and dressing segment for H1, with profits from major enterprises down 11.1%. Smelting and calendaring segments saw a decline of 14.5% in profit, with profit from major companies tumbling 19.6%.

    In downstream markets, tin solder sector reported shrinking orders as traditional low demand season started. SMM foresees a significantly lower operating rate in the sector, with decline at some producers expected to hit 10%. Tin solder producers intended to purchase as needed in the short term to ensure liquidity and to control input costs.

    Tags: SMM Tin Industry Chain Summit, tin price trends, China tin price

    Aug 09 3:48 AM | Link | Comment!
  • Recovery On Horizon For Rare Earth Sector

    Lower prices to spur demand from major consumers such as US, Japan

    Rare earth demand and prices are expected to grow slowly, after hitting two-year lows, according to an official at China's industry association.

    China, the world's biggest supplier of rare earths, set the export limit for 2013 at a similar level with last year when it issued its second batch of export quotas for the year on Monday.

    Twenty-four companies, including China Minmetals Corp, Aluminum Corp of China and Baotou Iron & Steel Group, will be allowed to ship 15,500 metric tons of rare earths under the second round of quotas, the Ministry of Commerce said on Monday. Of the total, 13,821 tons are light rare earths and 1,679 tons are medium and heavy rare earths.

    This second batch of quotas takes the year's export total to 31,001 tons.

    Weak global demand meant about half of last year's export quota went unused. In 2012, the quota was 30,996 tons, but only 52.5 percent was used.

    This year's quota is 5 tons higher than last year and the highest since 2009.

    Lin Boqiang, director of the China Center for Energy Economic Research at Xiamen University in Fujian province, said the stagnant global economy indicates that actual rare earth exports this year are likely to be well below the quota level.

    Chen Zhanheng, deputy secretary-general of the China Rare Earths Industry Association, said the government held the quotas steady to avoid charges that it is engaging in "manipulation" of rare earth exports and prices.

    The World Trade Organization last year agreed to probe China's export limits and tariffs for rare earths, following complaints that the curbs breached the rules of global commerce.

    Rare earth metals include 17 elements that are widely used in high-tech products.

    Chen said actual exports this year are likely to be higher than in 2012, as lower prices have spurred demand from major user countries, including the United States and Japan, whose economies are recovering.

    He noted that Japan's dependence on rare earth supplies from China has increased and is likely to continue to climb, as its reserves decline.

    Last year, Japan used 14,470 tons of rare earths. It is expected to increase consumption this year, Chen said.

    According to The Nikkei, in the first four months of this year, Japan's imports of rare earths increased 19 percent year-on-year to 4,300 tons.

    China supplied 63 percent of those imports, up 11 percentage points year-on-year. Rare earth prices are also expected to rebound after hitting bottom over the past two years, he said.

    The growing cost of environmental protection has increased costs for producers, and production suspensions have also kept supplies lower, he added.

    But a price surge such as that seen in 2011 is not likely to recur, he said.

    Jul 08 11:38 AM | Link | Comment!
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  • LME nickel prices overnight opened at USD 14,018/mt, with the high end of the price range USD 14,022/mt, and finding support USD 13,854/mt.
    Jul 3, 2013
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