Industrial and Base Metals Fundamental Analysis – August 21, 2015 – Forecast – Copper, Palladium & More

Analysis and Recommendations:

Copper gained 23 points as traders bought up the cheap metal on the weak US dollar. Copper is trading at 2.299 remaining near its bottom and a 6 year low. Palladium is up $4.55 on the weak greenback trading at 614.30. Copper slid to a six-year low below $5,000 a tonne on Wednesday as a plunge in oil prices added to persistent concerns about slowing growth in China, where authorities intervened for a second day to calm volatile stock markets.

Three-month copper on the London Metal Exchange ended down 1 percent at $4,985 a tonne, having earlier hit its lowest since mid-2009 at $4,976. It fell 1.5 percent on Tuesday, breaking below $5,000 for the first time in six years.

Chinese stocks reversed sharp declines to end higher after the central bank injected more funds into the financial system, though worries about China persisted in global equity markets.

In metals, investors remained unnerved in particular by stuttering factory growth in China and falls in power generation and property prices. China consumes around 45 percent of the world’s copper.

FxEmpire provides in-depth analysis for each currency and commodity we review. Fundamental analysis is provided in three components. We provide a detailed monthly analysis and forecast at the beginning of each month. Then we provide more recent analysis and information in our weekly reports.

Today’s economic releases:

 

Upcoming Economic Events that you should be monitoring:

Friday, August 21, 2015

Government Bond Auctions

Date Time Country

Aug 20 10:30 Spain Auctions Bonos/Obligaciones

Aug 20 11:30 UK Auctions 4.25% 2036 Gilt

Aug 21 17:30 Italy Announces details of CTZ/BTPei on 26 Aug