METALS-LME copper steady; U.S. jobs, China inflation weighs
Mon Jul 11, 2011
SHANGHAI, July 11 (Reuters) - LME copper was steady on
Monday, supported by a rise in June copper imports into China
and continuing supply disruptions, but a gloomy U.S. jobs and
Chinese inflation data is expected to weigh on sentiment.
FUNDAMENTALS
* Three-month copper on the London Metal Exchange
edged down 0.2 percent to $9,646 a tonne by 0110 GMT, after
losing 0.8 percent in the previous session after a dismal set of
U.S. job data.
* The most-active September copper contract on the Shanghai
Futures Exchange edged down 0.5 percent to 71,510 yuan
per tonne, catching up with losses in London.
* U.S. jobs growth ground to a near halt in June as
employers hired the fewest workers in nine months, frustrating
hopes the economy would bounce back quickly from a slowdown in
the first half of the year.
* China's copper imports staged a strong comeback in June,
but the outlook was marred by falls in a list of other key
commodities, showing that Beijing's cooling measures were
weighing on the economy.
* Copper imports into China snapped two months of decline to
rise 9.9 percent from May to 280,009 tonnes in June, but volumes
are still down 14.7 percent from a year ago.
* A strike paralyzing production at Freeport Indonesia's
Grasberg mine, one of the world's largest sources of copper and
gold, will extend into a second week after talks broke down
between the company and workers, a union official said on
Friday.
* Two of the world's top copper mines on Friday braced for
more bad weather in Chile's copper-rich north, halting some
operations or working under a contingency plan, executives and
union leaders said.
* China's annual inflation accelerated to a three-year high
in June, increasing the chances that the central bank will keep
raising interest rates to tame price pressures that are
spreading beyond food and energy.
* Europe's largest copper producer Aurubis sees a
trend for rising copper prices thanks to higher demand for more
electronics goods, its chief executive told a German paper.
MARKET NEWS
* Stock markets around the world fell on Friday and oil
prices dropped as a dismal report on America's labor market
disappointed investors expecting a stronger recovery in the
world's largest economy.
* The euro fell to fresh two-week lows versus the Swiss
franc and U.S. dollar in Asia on Monday in the lead-up to an
emergency meeting among European leaders worried that the debt
crisis was spreading to Italy, the region's third largest
economy.
DATA/EVENTS
0500 Japan Consumer confid. index Jun 2011
0645 France Industrial output mm May 2011
1400 U.S. Employment Index Jun 2011
Base metals prices at 0110 GMT
Metal Last Change Pct Move YTD pct chg
LME Cu 9646.00 -15.00 -0.16 0.48
SHFE CU FUT SEP1 71510 -360 -0.50 -0.47
LME Alum 2535.00 0.00 +0.00 2.63
SHFE AL FUT SEP1 17350 -45 -0.26 3.03
HG COPPER SEP1 439.30 -1.15 -0.43 -1.05
LME Zinc 2370.00 14.00 +0.59 -3.42
SHFE ZN FUT SEP1 18040 -135 -0.74 -7.37
LME Nickel 23810.00 -80.00 -0.33 -3.80
LME Lead 2697.25 -21.75 -0.80 5.77
SHFE PB FUT 17195 -110 -0.64 -6.29
LME Tin 26800.00 0.00 +0.00 -0.37
LME/Shanghai arb 1425
Shanghai and COMEX contracts show most active months
^ LME 3-m copper in yuan, including 17 pct VAT, minus SHFE
third month
Shanghai lead launched on March 24
SHANGHAI, July 11 (Reuters) - LME copper was steady on
Monday, supported by a rise in June copper imports into China
and continuing supply disruptions, but a gloomy U.S. jobs and
Chinese inflation data is expected to weigh on sentiment.
FUNDAMENTALS
* Three-month copper on the London Metal Exchange
edged down 0.2 percent to $9,646 a tonne by 0110 GMT, after
losing 0.8 percent in the previous session after a dismal set of
U.S. job data.
* The most-active September copper contract on the Shanghai
Futures Exchange edged down 0.5 percent to 71,510 yuan
per tonne, catching up with losses in London.
* U.S. jobs growth ground to a near halt in June as
employers hired the fewest workers in nine months, frustrating
hopes the economy would bounce back quickly from a slowdown in
the first half of the year.
* China's copper imports staged a strong comeback in June,
but the outlook was marred by falls in a list of other key
commodities, showing that Beijing's cooling measures were
weighing on the economy.
* Copper imports into China snapped two months of decline to
rise 9.9 percent from May to 280,009 tonnes in June, but volumes
are still down 14.7 percent from a year ago.
* A strike paralyzing production at Freeport Indonesia's
Grasberg mine, one of the world's largest sources of copper and
gold, will extend into a second week after talks broke down
between the company and workers, a union official said on
Friday.
* Two of the world's top copper mines on Friday braced for
more bad weather in Chile's copper-rich north, halting some
operations or working under a contingency plan, executives and
union leaders said.
* China's annual inflation accelerated to a three-year high
in June, increasing the chances that the central bank will keep
raising interest rates to tame price pressures that are
spreading beyond food and energy.
* Europe's largest copper producer Aurubis sees a
trend for rising copper prices thanks to higher demand for more
electronics goods, its chief executive told a German paper.
MARKET NEWS
* Stock markets around the world fell on Friday and oil
prices dropped as a dismal report on America's labor market
disappointed investors expecting a stronger recovery in the
world's largest economy.
* The euro fell to fresh two-week lows versus the Swiss
franc and U.S. dollar in Asia on Monday in the lead-up to an
emergency meeting among European leaders worried that the debt
crisis was spreading to Italy, the region's third largest
economy.
DATA/EVENTS
0500 Japan Consumer confid. index Jun 2011
0645 France Industrial output mm May 2011
1400 U.S. Employment Index Jun 2011
Base metals prices at 0110 GMT
Metal Last Change Pct Move YTD pct chg
LME Cu 9646.00 -15.00 -0.16 0.48
SHFE CU FUT SEP1 71510 -360 -0.50 -0.47
LME Alum 2535.00 0.00 +0.00 2.63
SHFE AL FUT SEP1 17350 -45 -0.26 3.03
HG COPPER SEP1 439.30 -1.15 -0.43 -1.05
LME Zinc 2370.00 14.00 +0.59 -3.42
SHFE ZN FUT SEP1 18040 -135 -0.74 -7.37
LME Nickel 23810.00 -80.00 -0.33 -3.80
LME Lead 2697.25 -21.75 -0.80 5.77
SHFE PB FUT 17195 -110 -0.64 -6.29
LME Tin 26800.00 0.00 +0.00 -0.37
LME/Shanghai arb 1425
Shanghai and COMEX contracts show most active months
^ LME 3-m copper in yuan, including 17 pct VAT, minus SHFE
third month
Shanghai lead launched on March 24
