Industrial Metals Update Is the rally in US steel prices sustainable? The price of steel in the US market has surged recently but it could be yet another commodity where premature price rises encourage additional supply. We caution that prices may fall from here as... 18th May 2016 · 1 min read
Industrial Metals Update Sentiment towards precious metals continues to improve Precious metals prices rallied last month, flattered by the recent US dollar weakness. Investors in the futures market added to their net-long positions, but the recent mixed news on the health of the... 17th May 2016 · 1 min read
Industrial Metals Update Stockbuild in China reflects optimism about demand Since the start of 2016, stocks of all the LME metals have fallen, while SHFE inventories of the same metals have risen. We think this trend reflects two main factors. First, optimism that physical... 11th May 2016 · 1 min read
Industrial Metals Update Copper still waiting in the wings The price of copper has not risen by as much as the prices of other metals in recent months. But we think the underlying outlook for demand is strong and that there are risks on the supply side. As... 10th May 2016 · 1 min read
Industrial Metals Update Investors cannot ignore oversupply of iron ore much longer The large speculative element in the recent rally in iron ore prices suggests that prices are especially vulnerable to any waning in the enthusiasm of Chinese investors, perhaps prompted by a further... 27th April 2016 · 1 min read
Industrial Metals Update A strong first quarter for China’s metals imports China’s metals imports remained high in March, reflecting the general optimism about a pick-up in demand. However, recent price rises and signs of stockpiling in China suggest that import growth may... 21st April 2016 · 1 min read
Industrial Metals Update Ditching of Chinese subsidies unlikely to rein in exports China’s decision to scrap its export subsidy programme will do little to help overcome huge surpluses of aluminium and steel, or to allay concerns about it dumping excess production on world markets... 20th April 2016 · 1 min read
Industrial Metals Update Stock movements more related to supply than demand With large divergences in stock movements between individual metals, it is unlikely that industrial demand has been the main driver. Instead, trends in inventories appear to have had a better... 14th April 2016 · 1 min read
Industrial Metals Update Still some way off from sustainable aluminium price rally Global aluminium output fell again in February, according to the International Aluminium Institute (IAI). But smelter restarts in a still over-supplied market could limit the scope for price increases... 13th April 2016 · 1 min read
Industrial Metals Update The tin rally is all about supply The price of tin has rallied by more than other metals prices since mid-January. We think this reflects the tight supply picture and low stocks. However, with growth in demand likely to remain subdued... 12th April 2016 · 1 min read
Industrial Metals Update PMs lose momentum but technical outlook remains positive Expectations that the Fed will hike rates sooner rather than later, coupled with the uncertainty still surrounding China’s economy (although both sentiment and the hard data have improved lately)... 11th April 2016 · 1 min read
Industrial Metals Update Zinc demand looks promising The price of zinc has rallied strongly, and by more than other metals, reflecting the prospect of lower supply. But we think that the demand outlook is also positive, which will add further support to... 7th April 2016 · 1 min read
Industrial Metals Update Fundamentals will eventually underpin copper price rise The rally in copper prices since mid-January has been flattered by a weaker dollar and improved investor sentiment. However, we think a more sustainable recovery in the price will happen later in the... 29th March 2016 · 1 min read
Industrial Metals Update China’s REE exports prove resilient The individual breakdown of China’s total rare earth element (REE) exports shows that exports of most REEs continued to grow strongly in the first two months of this year. 29th March 2016 · 1 min read
Industrial Metals Update Too far, too fast for Chinese steel prices Chinese steel prices have surged recently but we think they are unlikely to hold on to their recent gains, as the underlying fundamentals remain weak. Although we expect growth in steel usage to turn... 23rd March 2016 · 1 min read
Industrial Metals Update China’s metals imports surge at the start of the year Strong growth in China’s metals imports, which started in the final quarter of 2015, continued in January-February. Some of the buying may have been opportunistic, given low prices, but it also points... 21st March 2016 · 1 min read
