Prices for nonferrous metals may continue steady growth
review the oil market for 28.01.10
Dynamics
Quotes of the oil market on Thursday, January 28 and results of the auctions closed with a decrease in value against the background of strengthening U.S. dollar on the foreign exchange market, FOREX, and also because of the negative dynamics of equity markets and adjacent areas.
At the New York Stock Exchange NYMEH the March futures price of U.S. crude fell by 0.03, or 0.1%, and its price was 73.64 dollars per barrel.
The exchange ICE in London, Brent crude futures price fell 0.11, or 0.1%, to 72.13 dollars per barrel.
Causes
On Thursday, Jan. 28 quotes on the market of “black gold” closed with a decrease in price under the following factors: 1 - strengthening of the dollar in the FOREX market against the backdrop of economic output makrostatistiki and news (investors are increasingly worried that problems with a public debt of Greece and other countries affected by the euro area, in addition, rating agency Standard Poor “s has indicated that it no longer considers the UK banking system to the most stable and having low-risk banking systems in the world), 2 - negative dynamics of the stock of sites where action United States passed the position, led to lower sector technology companies (Dow Jones industrial average - 10120.46 (-115.70, or -1.13%), Nasdaq Composite - 2179.00 (-42.41, or -1.91%), SP 500 - 1084.53 (-12.97, or -1.18%)), 3 - reduction in adjacent markets, namely the drop in market prices of precious metals, 4 - investors refrained from active operations against the background of weak demand for oil in the U.S., which is the world”s largest oil consumer.
From news worth noting that the Iraqi Oil Ministry signed a contract to develop oil field Halfayya “with a consortium of Chinese CNPC (50%), French Total (25%) and the Malaysian Petronas (25%). Estimated reserves “Halfayya” estimated at 4.1 billion barrels. The companies plan to boost production to 535 thousand barrels per day. The volume of oil production in Iraq thanks to new contracts with foreign companies and develop their own oil production will reach 12 million barrels a day, said Iraqi Oil Minister Hussain al-Shahristani at the end of the tender for the development of ten fields, which was attended by 44 companies.
What to expect?
Many analysts point to the fact that oil prices are still within the trading range of 70-80 dollars per barrel and may have potential for further growth. The close relationship between oil prices and U.S. dollar is expected to continue to set the tone for trading on the oil market.
Why worry?
The main negative factors in the oil market are U.S. dollar and the technical picture, namely, the psychological and technical level of $ 80 per barrel, which does not allow to pass higher oil prices, thereby encouraging market participants to lock in profits on the open long positions.
Overview of precious metals market for 28.01.10
Dynamics
On Thursday, Jan. 28 quotes for gold and silver reached nearly three-month low against the dollar strengthening in the currency market FOREX, and also due to the fall of neighboring markets and the weak dynamics of the stock pads, but later quotes almost completely restored the lost ground due to purchases on technical factors.
As a result of trading on the COMEX, division of the New York Mercantile Exchange (NYMEX), quotes gold futures dropped to 0,90 to U.S. $ 1084.80 per troy ounce, quotes, silver futures fell 23 cents to 16.21 dollars per ounce.
Causes
On Thursday 28 January futures on precious metals have completed trades with a decrease in price under the following factors: 1 - strengthening of the dollar in the FOREX market against the backdrop of economic makrostatistiki and news (the number of Americans who have applied for unemployment benefits fell to 470,000 last week - the forecast was 450,000, while orders for durable goods rose by only 0.3% - forecast at 2%), 2 - negative dynamics of the stock sites, where U.S. stocks surrendered the position, led to lower sector technology companies under the influence of economic news and quarterly reports (Dow Jones industrial average - 10120.46 (-115.70, or -1.13%), Nasdaq Composite - 2179.00 (-42.41, or -1.91%), SP 500 - 1084.53 (-12.97, or -1.18 %)), 3 - reduction in adjacent markets, namely the falling price of oil market; 4 - technical reasons - the sale of gold could be partly due to the fact that futures failed to hold above U.S. $ 1100.00 in recent attempts to increase, with each time when the quotes come in the lower part of the district in 1080 dollars, a relatively good demand, which prevents further decline.
Futures platinum managed to close with a raise. Platinum continues to receive some support in the form of investment demand on the background running in the U.S. traded index funds on platinum and palladium. Rising prices of platinum can also contribute to improving the situation in the automotive industry, through which to grow the demand for catalytic converters using platinum.
From news can note that the international (gold) reserves of Russia for the period from 15 to 22 January 2010. decreased by 5.8 billion dollars and in percentage terms approximately on 1,3% - to 441,4 billion dollars to 435.6 billion dollars. Thus, international reserves are at a level first reached in October 2007. Record-breaking - 598.1 billion dollars - the international reserves reached 8 August 2008. Compared with 1 January 2010. When the volume of international reserves of Russia amounted to 440.6 billion dollars, this figure decreased by 1.1%.
What to expect?
Traditional purchase of precious metals in the early years of the funds, the overall improvement in investor sentiment, as well as decrease the U.S. dollar will provide sustained support to the quotations of gold and silver. However, the situation could change dramatically if the dollar will resume its strengthening, as the inverse correlation between the dollar and the prices of precious metals continues.
Why worry?
volatile changes in the currency market may be reflected in the sharp fluctuations of prices for precious metals.
non-ferrous metals market review for 28.01.10
Dynamics
On Thursday 28 January the price of nonferrous metals on the London stock exchange finished the trading session with a decrease in value against the background of strengthening U.S. dollar on the foreign exchange market, FOREX, and also due to the fall of neighboring markets and the weak dynamics of the stock pads.
At the London Metal Exchange LME aluminum price closed at 2,125 dollars per tonne.
Copper at the close of the exchange was worth 7041 dollars per ton.
Nickel bidding up the price of 18125 dollars per tonne.
London Metal Exchange index, tracking the dynamics of six metals (index of metals, consists of fixing LME base metals aluminum, copper, nickel, lead, tin, zinc) amounted to 3180.0
Causes
On Thursday 28 January the price of nonferrous metals on the London stock exchange finished the trading session with a decrease in price under the following factors: 1 - Economic News - traders note the concern of the market potential magnitude and speed of measures taken by the Chinese government that led to a small trading volumes and downward pressure on metals, 2 - to strengthen the U.S. dollar in the FOREX market against the backdrop of economic makrostatistiki and news (the number of Americans who have applied for unemployment benefits fell to 470,000 last week - the forecast was 450,000, while orders for goods durables grew by a mere 0.3% - forecast at 2%) 3 - reduction in adjacent markets, namely the drop in oil prices and precious metals, 4 - negative dynamics of the stock sites, where U.S. stocks surrendered the position, led to the reduction of the technological sector companies, under the influence of economic news and quarterly reports (Dow Jones industrial average - 10120.46 (-115.70, or -1.13%), Nasdaq Composite - 2179.00 (-42.41, or -1.91%), SP 500 - 1084.53 (-12.97, or — 1.18%)).
From news worth noting post World Steel Association, the world production of pig iron in December 2009. totaled 80.018 million tons, up 2.1% lower than in December 2008, when it reached 81.704 million tons. World leader in the production of pig iron is China, and its result for December 2009. amounts to 44.724 million tons, which is 18,6% higher than a year ago (37.651 million tonnes). Production of pig iron in the Asian region in December 2009. also increased by 5,44%, to 57.63 million tons, compared with 54.653 million tons in December 2008. World top ten manufacturers ofcast iron is as follows: 1) China - 44.724 million tons, and 2) Japan - 6.844 million tonnes, 3) Russia - 4,09 million tons, 4) Brazil - 2,642 million tonnes, 5) South Korea - 2,602 million tonnes, 6) India - 2.6 million tons, 7) Ukraine -2.356 million tonnes, 
Germany - 2,276 million tonnes, 9) United States - 2.04 million tons, 10) Taiwan - 0,86 million tons. It is noteworthy that the U.S. has changed its 3rd position in 2008. 9-th step, and France did not hit the top ten.
What to expect?
Many analysts say that the policy of financial incentives and a very low interest rates encouraged the purchase of non-ferrous metals. Changes in both factors is not yet in sight, so you can confidently speak about a continuing rise in prices for nonferrous metals.
Why worry?
negative factor in the market of nonferrous metals, according to analysts appear fluctuations in the currency market and economic news, which carry a greater chance of increasing desire to profit-taking by market participants and the development of a deep downward correction.
| log in and see the material;;
2; user rated material at 4. |
Analyst Ratings |
cessation of external financing of the budget forced the Ukrainian government flagrantly violate the principles of … Conflict with the Polygraph “Ukraine”, printing the ballots, on Tuesday became the major news media …
Ukrainians do not issue passports
Crime for the sake of salaries and pensions
Can I print 1.5 million extra ballots?
Indexes in Asia fell on Friday because of the data on unemployment in the United States and losses of companies
Russia”s indexes continue to decline, ignoring the positive opening of European stock exchanges
Speculative recomcf0mendation on shares of MMC Norilsk Nickel, Gazprom, Lukoil, Sberbank and VTB
Conference on-line: “Aviaotrasl Russia at the Crossroads”
It is hoped that during the day Russia”s indexes will make a new attempt to increase
The level of support for fixed-term contract on RTS index today - 142 800 points
