Monthly Metal Review
- June 2018
- May 2018
- April 2018
- March 2018
- February 2018
- January 2018
- December 2017
- November 2017
- October 2017
- September 2017
- August 2017
- July 2017
- June 2017
Eurozone manufacturing expanded mildly for a fifth month as Germany drove regional recovery. The Composite Purchasing Managers' Index (PMI) ticked down to 51.5 from October’s 51.9. Still, readings above 50 denote growth. Markit’s Germany manufacturing gauge rose to a 29-month high of 52.5. In France, however, manufacturing output slipped to a six-month low.
Concerned with low economic growth, the European Central Bank trimmed its main refinancing interest rate by 25 basis points to 0.25 percent. ECB officials said they would prime banks until mid-2015. October’s Eurozone-wide consumer-price inflation was 0.7 percent.
The London Metal Exchange said that, begin-ning April 1, LME-approved warehouses with with-drawal times exceeding 50 calendar days must ship out more metal daily than taken in by at least 1,500 tonnes.
The LME approved warehouse locations in Moerdijk, Netherlands, and Owensboro, Kentucky, and Panama City, Florida, in the U.S. Moerdijk and Owensboro are proximate to warehouse locations with log-jams; Vlissingen and Detroit. Panama City could cut congestion at New Orleans, which accounts for perhaps half the zinc and over a third of the copper stocks waiting for delivery.
The LME will add a third, earlier trading round with Asian time-zone clearing and price discovery. It is also to introduce Yuan-based contracts, cleared and settled via HKEx's Hong Kong platform, in fourth-quarter 2014.
The Bank of England indicated the UK economy is recovering quickly enough that there is a 50-50 chance unemployment could fall to 7 percent in late 2014. The BoE could then consider raising interest rates.
Incoming U.S. Federal Reserve chair Janet Yellen calmed concerns the Fed might soon reduce its bond-buying stimulus. She said the economy must improve further before the central bank winds down. She said unemployment is too high, even though it fell from a 10-percent high to October's 7.3 percent. The econo-my added 204,000 jobs in October.
U.S. factory output rose for a third consecutive month, up 0.3 percent in October despite a 1.3-percent fall in auto production. Manufacturing growth was broad-based, with increases in production of products like primary metals, computer and electronic items and furniture. Factory production rose 3.3 percent in the 12 months through October. The economy grew at a 2.8-percent rate as businesses restocked, up from 1.8 in the second quarter.
China's October industrial output climbed an estimated 10.3 percent from a year earlier and manufacturing investment strengthened, the National Bureau of Statistics reported. November results were expected to show milder growth as Beijing shifts focus to structural reform. November's Flash Mar-kit/HSBC Purchasing Managers' Index (PMI) fell to 50.4 from October's 50.9.
Communist Party leaders in Beijing endorsed President Xi Jinping's economic-overhaul plans. Tar-gets include expanding markets' role in energy and natural resources and encouraging private investment in finance. The reforms pose significant, if indirect, challenges to powerful state companies.
Japan reported a third-quarter drop in its economic growth to an annualised 1.9-percent rate from 3.8 percent in the previous quarter. Analysts blamed weaker consumer spending and exports that offset hikes in public spending and property investment. Japan had positive first-half growth but fell behind the U.S., which expanded at a 2.8-percent rate in the third quarter. Japan showed an October trade deficit of $11 billion.