Monthly Metal Review

Overview

Political change and uncertainty dominated in May as economic concerns deepened and anti-austerity voters rejected ruling parties in France, Greece, and Westphalia, Germany's largest state.

The reelection of Vladimir Putin to a third term as Russia's president offered some form of stability in that region. However, in France, voters elected pro-growth Socialist Fran�ois Hollande. Greeks rejected politicians who supported cutbacks and higher taxes for a bailout, but winners couldn't form a government. New Greek parliamentary elections June 17 will be a virtual referendum on whether the country will remain in the European Union. Some major banks told clients to prepare for a rally if Greece exits. London risk analysts warned Greek departure could erase 10 percent from the value of British banks.

The party of German Chancellor and austerity advocate Angela Merkel lost to a center-left challenger in North Rhine-Westphalia. EU leaders at a G-8 meeting at Camp David pressed Germany for growth policies. Skittish financial markets braced for policy shifts, austerity fatigue and, perhaps, a fractured EU. Germany's encouraging 0.5 percent GDP growth in Q1 may help ease fears.

Asia markets rallied on Chinese Premier Wen Jiabao's call for proactive policies to foster growth. Wen suggested increasing loans for infrastructure projects, tax cuts, credit for small and medium busi-nesses, and lower financing costs. The head of Xstrata's copper division predicted China's demand will rise in 2012's second half citing underlying market strength, Charlie Sartain said Xstrata will increase copper output by 60 percent in the next three years.

The Euro traded at 1.32 on May 1st and finished the month of May at 1.24 against the USD, which represent a 6% fall.

Moody's cut the credit-worthiness rating for 16 Spanish and 26 Italian banks. Spain announced an $11-billion bailout and takeover of Bankia.

The US reported marginally better job numbers as the unemployment rate fell a tenth of a point to 8.1 percent and employers added 115,000 workers. But joblessness in the eurozone rose to 10.9 percent. Britain was officially in recession, although Royal Bank of Scotland Q1 operating profits were up 4 percent to $1.9 billion.

Billiton and Rio Tinto reassessed spending as shareholders pushed for cost controls and higher short-term returns. Billiton officials said they wouldn't spend a planned $80 billion. Citigroup predicted mining-sector spending would drop from an estimated 34 percent hike to 13 percent.

China's April PMI rose .02 to 53.3, above growth-friendly 50 for five months, and inflation fell from 3.6 percent to April's 3.4. China lowered the amount banks must reserve and set a 7.5 percent 2012 growth target. The US PMI also rose, from 53.4 to April's 54.8, and home-foreclosure numbers shrunk in May for a third month.

Daily Prices

May 2012

Copper
Date(Fix.) ($/MT)
Average 7919.93
31-05-2012 7517
30-05-2012 7545
29-05-2012 7685.5
28-05-2012 7740
25-05-2012 7695.5
24-05-2012 7660.5
23-05-2012 7630.5
22-05-2012 7775
21-05-2012 7800.5
18-05-2012 7795.5
17-05-2012 7708
16-05-2012 7710
15-05-2012 7854
14-05-2012 7980
11-05-2012 8080
10-05-2012 8195.5
09-05-2012 8089
08-05-2012 8234
04-05-2012 8296
03-05-2012 8318
02-05-2012 8401
01-05-2012 8528
Silver
Date(Fix.) ($/OZ)
Average 28.67
31-05-2012 28.1
30-05-2012 27.68
29-05-2012 28.25
28-05-2012 28.52
25-05-2012 28.24
24-05-2012 28.08
23-05-2012 27.76
22-05-2012 28.07
21-05-2012 28.39
18-05-2012 28.48
17-05-2012 27.48
16-05-2012 27.25
15-05-2012 28.28
14-05-2012 28.33
11-05-2012 28.58
10-05-2012 29.25
09-05-2012 28.77
08-05-2012 29.58
04-05-2012 29.9
03-05-2012 30.36
02-05-2012 30.52
01-05-2012 30.78
PM MEAN AM Gold
Date(Fix.) ($/OZ)
Average 1585.11
31-05-2012 1567.5
30-05-2012 1548.75
29-05-2012 1573.75
28-05-2012 1579
25-05-2012 1560.5
24-05-2012 1558.5
23-05-2012 1555
22-05-2012 1575.75
21-05-2012 1590.25
18-05-2012 1588
17-05-2012 1547
16-05-2012 1537.5
15-05-2012 1559
14-05-2012 1563
11-05-2012 1580.75
10-05-2012 1590
09-05-2012 1585.5
08-05-2012 1627
04-05-2012 1629.5
03-05-2012 1642.5
02-05-2012 1652.5
01-05-2012 1661.25
Date(Fix.) ($/OZ)
Average 1585.31
31-05-2012 1562.75
30-05-2012 1544.375
29-05-2012 1576.625
28-05-2012 1576.8
25-05-2012 1565
24-05-2012 1563.5
23-05-2012 1552
22-05-2012 1579.125
21-05-2012 1591.375
18-05-2012 1588.75
17-05-2012 1550.5
16-05-2012 1543
15-05-2012 1557.75
14-05-2012 1560.75
11-05-2012 1581.875
10-05-2012 1594.25
09-05-2012 1584
08-05-2012 1614.75
04-05-2012 1636.625
03-05-2012 1640.125
02-05-2012 1650.25
01-05-2012 1662.625
Date(Fix.) ($/OZ)
Average 1585.50
31-05-2012 1558
30-05-2012 1540
29-05-2012 1579.5
28-05-2012 1574.6
25-05-2012 1569.5
24-05-2012 1568.5
23-05-2012 1549
22-05-2012 1582.5
21-05-2012 1592.5
18-05-2012 1589.5
17-05-2012 1554
16-05-2012 1548.5
15-05-2012 1556.5
14-05-2012 1558.5
11-05-2012 1583
10-05-2012 1598.5
09-05-2012 1582.5
08-05-2012 1602.5
04-05-2012 1643.75
03-05-2012 1637.75
02-05-2012 1648
01-05-2012 1664
Lead
Date(Fix.) ($/MT)
Average 1998.91
31-05-2012 1922.5
30-05-2012 1912.5
29-05-2012 1932
28-05-2012 1933.5
25-05-2012 1945
24-05-2012 1934
23-05-2012 1922
22-05-2012 1928.5
21-05-2012 1942
18-05-2012 1950
17-05-2012 1930
16-05-2012 1973
15-05-2012 2016.5
14-05-2012 2026.5
11-05-2012 2053
10-05-2012 2063
09-05-2012 2036
08-05-2012 2077.5
04-05-2012 2080
03-05-2012 2104.5
02-05-2012 2143.5
01-05-2012 2150.5
Zinc
Date(Fix.) ($/MT)
Average 1930.02
31-05-2012 1899
30-05-2012 1887
29-05-2012 1905.5
28-05-2012 1901
25-05-2012 1893
24-05-2012 1867.5
23-05-2012 1873
22-05-2012 1900
21-05-2012 1902
18-05-2012 1921
17-05-2012 1883.5
16-05-2012 1913.5
15-05-2012 1918
14-05-2012 1920
11-05-2012 1935.5
10-05-2012 1944
09-05-2012 1936
08-05-2012 1987
04-05-2012 1996
03-05-2012 2000.5
02-05-2012 2028.5
01-05-2012 2049
Tin
Date(Fix.) ($/MT)
Average 20370.68
31-05-2012 19725
30-05-2012 19805
29-05-2012 20100
28-05-2012 19855
25-05-2012 19850
24-05-2012 19655
23-05-2012 19305
22-05-2012 19460
21-05-2012 19450
18-05-2012 19400
17-05-2012 19450
16-05-2012 19780
15-05-2012 20200
14-05-2012 20275
11-05-2012 20255
10-05-2012 20645
09-05-2012 20850
08-05-2012 21340
04-05-2012 21775
03-05-2012 22005
02-05-2012 22250
01-05-2012 22725
Nickel
Date(Fix.) ($/MT)
Average 17020.00
31-05-2012 16375
30-05-2012 16390
29-05-2012 16885
28-05-2012 16980
25-05-2012 16980
24-05-2012 16915
23-05-2012 16880
22-05-2012 17030
21-05-2012 16775
18-05-2012 17105
17-05-2012 16910
16-05-2012 16950
15-05-2012 16985
14-05-2012 16980
11-05-2012 17025
10-05-2012 17135
09-05-2012 17030
08-05-2012 17405
04-05-2012 17370
03-05-2012 17380
02-05-2012 17430
01-05-2012 17525
Cobalt
Date(Fix.) ($/MT)
Average 30794.32
31-05-2012 30700
30-05-2012 30200
29-05-2012 31000
28-05-2012 31000
25-05-2012 31000
24-05-2012 30625
23-05-2012 31150
22-05-2012 30500
21-05-2012 30800
18-05-2012 30800
17-05-2012 30800
16-05-2012 30800
15-05-2012 30800
14-05-2012 30500
11-05-2012 30700
10-05-2012 31000
09-05-2012 30400
08-05-2012 31400
04-05-2012 31100
03-05-2012 30850
02-05-2012 30550
01-05-2012 30800