Posted: November 14th, 2013 | Author: Rod Sherkin | Filed under: China, Copper, Europe, USA | Tags: china, Copper, copper china, copper europe, copper future, copper price, copper usa | No Comments »
Copper fell 2.3% on Wednesdays to $3.1595 a pound on the Comex division of the New York Mercantile Exchange, the lowest price since July 31. So far this year, the price declined 12 percent.
Copper futures fell to a three-month low as investors bet that the economic policies laid out by China‘s leadership wouldn’t do enough to boost growth in the world’s top metals consumer.
Copper has been sliding since Tuesday after China’s Third Plenum — a four-day meeting that sets government economic policy for the world’s second – largest economy—released a broad blueprint calling for markets to play a more “decisive” role in economic matters.
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Posted: November 5th, 2013 | Author: Rod Sherkin | Filed under: China, Cotton | Tags: cotton, cotton china, cotton future, cotton price, cotton stock, cotton stockpile, cotton supply | No Comments »
Cotton fell almost 19 percent to 75.85 cents a pound on ICE Futures U.S. in New York since reaching a 16-month closing high of 93.32 cents on Aug. 16. Traders say they expect the state-owned company that controls China’s cotton reserve to sell some of its massive stockpile by the end of the year.
China is hoarding a record amount of cotton to aid farmers as global production exceeds demand for a fourth consecutive year, increasing the risk of a supply surge that would tip prices into a bear market.
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Posted: September 25th, 2013 | Author: Pascal Blanc | Filed under: Chemicals, Commodities, Europe, Potash | Tags: Potash, potash canada, potash china, potash market, potash price, potash reserve, potash russia | 1 Comment »
China‘s sovereign wealth fund (CIC) has acquired a 12.5 percent stake in Uralkali, the Russian fertilizer giant currently embroiled in a highly politicized dispute with its Belarusian counterpart, according to a statement released by Uralkali on Tuesday.
Analysts said the Chinese government’s first direct investment in a producer of the soil nutrient often used in fertilizer follows a pattern of China’s acquiring direct control of overseas mineral companies to keep price and supply stable. As a result, it threatens the exports of other major producers to the Chinese market, including Canada’s Potash Corp. of Saskatchewan and Belarus state-owned Belaruskali.
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Posted: September 17th, 2013 | Author: Pascal Blanc | Filed under: China, Commodities, Cotton | Tags: cotton, cotton china, cotton future, cotton outlook, cotton price, cotton production, cotton stock | 2 Comments »
China is the largest importer of raw cotton in the global market. In 2011, the Chinese government began stockpiling cotton in an effort to support domestic farmers through the establishment of purchase prices.
In 2012, the government stockpiled 85% of total domestic output and this purchasing program is set to continue throughout 2013.
China plans to end its cotton stockpiling program and will instead consider subsidizing domestic producers, according to a Reuters news report. Details are sketchy, however, and the new policy may take a year or more to implement.
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Posted: September 9th, 2013 | Author: Pascal Blanc | Filed under: China, PMI | Tags: China PMI, PMI | No Comments »
The purchasing managers’ index (PMI) figure, published by the National Bureau of Statistics, rose to 51 in August from 50.3 in July. That was its highest level since April last year and exceeded market expectations for a 50.6 reading.
The PMI strengthened for the second straight month and comes as other recent data have spurred optimism a slowdown in the economy may have been stemmed.
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Posted: September 5th, 2013 | Author: Pascal Blanc | Filed under: China, Commodities, Metals, Stainless Steel, Steel | Tags: china steel, stainless steel, steel, steel index, steel inventory, steel output, steel price, steel production | No Comments »
Steel reinforcement-bar or rebar advanced 10 percent to 3,735 yuan on the Shanghai Futures Exchange since reaching this year’s low on June 14 and may extend the rally to 20 percent by the end of 2013, meeting the common definition of a bull market according to a Bloomberg News survey of analysts.
In August this year, the purchasing managers’ index (PMI) of China’s steel sector increased to 53.4 percent, up 0.9 percentage points month on month, as announced by the China Steel Logistics Committee which is part of the China Federation of Logistics and Purchasing.
Also, the new order index for China’s steel sector stood at 57.9 percent, up 0.6 percentage points compared to previous month. Meanwhile, the export order index was stable month on month.
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Posted: July 29th, 2013 | Author: Pascal Blanc | Filed under: China, Commodities, Cotton | Tags: cotton, cotton future, cotton price, cotton production | No Comments »
The December cotton contract closed below its 50- and 100-day moving averages at 85.24 cents and 85.72 cents on Monday, an indication of technical pressure in a market that has been largely range-bound in recent sessions. Trading volumes totaled fewer than 11,000 contracts, compared with a 30-day average of over 24,000 lots, preliminary Thomson Reuters data showed.
China probably will harvest 7.22 million metric tons in the 12 months that start Aug. 1, more than the 7.05 million forecast in June, researcher Cotlook Ltd. said yesterday in a report. Global production will exceed demand by 2.14 million tons, or 5 percent more than forecast last month, Cotlook said.
“People weren’t expecting those numbers,” Michael Smith, the president of T&K Futures & Options in Port St. Lucie, Florida, said in a telephone interview. “We’re going to continue to see increased supply and decreased demand.”
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Posted: July 29th, 2013 | Author: Pascal Blanc | Filed under: Aluminum, China, Commodities, Copper, Metals | Tags: Copper, copper capacity, copper cycle, copper demand, copper future, copper price, copper supply, copper surplus | No Comments »
At the end of June, it seemed that bottom was falling out of copper prices. Since then it gained a few percents, but last Thursday on the London Metal Exchange, copper for delivery in three months fell 2.2 percent to $6,863 a ton ($3.11 a pound).
On friday, copper fell again to the lowest level in almost three weeks and lost 0.6 percent to $6,820 a metric ton, the lowest since July 10, and was at $6,838.75 at 10:14 a.m. in Shanghai. Metal for delivery in November on the Shanghai Futures Exchange dropped 2.1 percent to 48,970 yuan ($7,988) a ton.
Traders said sentiment in copper remained bearish after the metal in global markets as concerns that demand from China, the largest user, will decline outweighed country’s plans to reduce production capacity.
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Posted: July 16th, 2013 | Author: Pascal Blanc | Filed under: China, Commodities, Economic Indicators | Tags: china, chromium, coal, commodities, commodities china, commodities price, electricity, gas, iron ore, nickel, steel | No Comments »
China announced Monday that its gross domestic product growth slowed to 7.5% in the three months ended in June. Its economic growth is still strong, compared with much of the world. But recent single-digit expansion rates are a notable comedown from a 14.2% peak in 2007.
Unlike so often in the past, though, the Chinese leadership shows little inclination to act. Indeed, the mood in Beijing is studiedly sanguine. Not only did the national statistics bureau describe yesterday’s figures as “within the reasonable range for the year”. Finance Minister Lou Jiwei even hinted, last week, that growth could drop well below 7 per cent over the coming months (although his remarks were later airbrushed into line with the official 7.5 per cent target by the state news agency).
The biggest losers from China’s rebalancing are likely to be the major commodity-producing emerging markets, most of which lie in Latin America, the Middle East and parts of Africa, but China’s slowdown will impact on different commodity groups in different ways.
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Posted: July 10th, 2013 | Author: Rod Sherkin | Filed under: Metals, Nickel, Stainless Steel | Tags: nickel, nickel china, nickel future, nickel output, nickel price, nickel production | 1 Comment »
Nickel prices fell to a four-year low, in the latest fallout from slowing economic growth in China, the metal’s biggest user. Nickel prices are bearing the brunt of a steep decline in metals markets this year.
Nickel futures fell as low as $13,205 a metric ton Tuesday on the London Metal Exchange, its lowest price since May 2009, and ended the day down 0.8%, at $13,325. Prices have dropped 22% since the start of the year.
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