Metals Pack Fundamental Analysis October 22, 2014 Forecast – Silver & Copper

Analysis and Recommendations:

Silver added 51 points to trade at 17.405 following cues from gold, while Copper recovered from its 2014 low to trade at 3.008 up by 20 points in today’s session, helped by positive Chinese industrial output and growth numbers. Copper rebounded as economic growth and factory output data from China, the biggest user of industrial metals, beat analysts’ estimates. Copper rallied as much as 0.8 percent in London after losing 1.2 percent yesterday. China’s gross domestic product in the third quarter rose 7.3 percent from a year earlier, compared with the 7.2 percent median estimate. Industrial output in September expanded 8 percent, compared with the 7.5 percent forecast in a separate survey and 6.9 percent in August.

Most of the base metals traded down on last day’s trading session and among the bourse nickel fell the most. Despite the Chinese GDP came at 7.30% there has been no impact on the metals prices amid Asian equities trading mixed to positive. Markets are seeing a steady trade day on metal this morning while going ahead we could see prices moving in a range trade. However, in the US session we could see some sort of positive momentum in the select metal ahead of home sales number from the US. For today analysts believe nickel which has fallen the most may floor its losses and likely scenario for a good short covering. The only concern for this metal is it has very less open interests and the volumes are very low so possibly wide swings in the prices could be noticed.

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 actual vs. forecast:

There was no European data today.

Upcoming Economic Events that you should be monitoring:

Government Bond Auction

Date Time Country Auction

Oct 21 10:30 Spain 3 & 9M T-bill auction

Oct 21 11:00 Finland Maximum Eur 1bn 2.75% Jul 2028 bonds

Oct 21 11:00 Norway Nok 3bn 3% Mar 2024 bonds

Oct 21 11:00 UK GBP 3bn 2.75% Sep 2024 Gilt

Oct 21 12:30 ESM Up to Eur 1bn 6M T-bills (Apr 2015)

Oct 22 11:30 Germany Eur 2.0bn 2.5% Aug 2046 Bund

Oct 23 11:03 Sweden Sek 1bn 0.5% Jun 2017 I/L bond

Oct 23 17:00 US Announces 2/5/7Y Note & 2Y FRN auctions on Oct 28/29/30

Oct 23 17:30 Italy Announces details of BTPei/CTZ auctions on Oct 28

Oct 23 19:00 US USD 7bn 30Y TIPS auction

Oct 24 17:30 Italy Announces details of BOT auction on Oct 29

Oct 27 12:30 Germany Eur 2.0bn new 12M Bubill (Oct 2015) auction

Oct 27 18:30 Italy Announces details of BTP/CCTeu auctions on Oct 30

Oct 27 12:10 Italy BTPei/CTZ auctions

Oct 28 12:10 Italy BOT auction

Oct 28 19:00 US 2Y Note auction

Oct 29 12:03 Sweden Bond auction

Oct 29 12:30 Germany Eur 4.0bn Aug 2024 Bund auction

Oct 29 17:30 US 2Y FRN auction

Oct 29 19:00 US 5Y Note auction

Oct 30 12:10 Italy BTP/CCTeu auctions

Oct 30 19:00 US 7Y Note auction