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EUROPE MINOR METALS-Worry on euro debt, tantalite sourcing weigh
Thu, 3rd Jun 2010 17:45
LONDON, June 3 (Reuters) - Many minor metals traded lower
over the past week as traders cited worries over European
sovereign debt and a possible slowdown in the pace of economic
growth in top consumer China.
'The European debt situation is weighing heavy on the world
markets. It's summer; it's quiet,' said one trader. 'It's
everything all in one really ... It's going to be a long
summer.'
Data on Tuesday pointed to a slowdown in the pace of
manufacturing activity in China, the world's top metals
consumer, as gradual policy tightening took a toll on new
orders.
Meanwhile, concerns over sovereign debt levels have shaken
financial markets in recent weeks, causing a sharp depreciation
in currencies such as the euro.
'I'm not so worried about a summer lull. I'm more concerned
about China cooling and European debt problems that are
impacting markets at the moment,' said another minor metals
trader.
Among individual metals, tantalite prices are
being watched closely, with traders pointing to a lack of
material from non-conflict countries.
Tantalite, which is used to make tantalum metal for
aerospace and computer manufacturing, fell to around $49 a lb
from about $50 a lb last week.
'There is no tantalite legally coming from conflict zones
like the Democratic Republic of Congo, (and) Talison is still
reported as unlikely to open mines in Australia before the
tantalite price reaches $100 per lb,' another trader said.
'Users of tantalite for super alloys are said to be nervous
of buying the metal unless certified non-conflict zone in
origin.'
Talison Minerals, once the world's top tantalum producer,
said in September it planned to reactivate its Wodgina mine in
mid-2010.
Asked for an update on the mine, a Talison spokesman said
there were no announcements and none expected in the near
future.
Among other minor metals, antimony grade 99.65,
used as a fire-proofing ingredient, declined to about $8,700 a
tonne from $9,000 a tonne last week.
The toxic metal has fallen back in recent weeks after
soaring to an all-time high at $9,550 a tonne in early May after
China cracked down on production.
Traders are desperately trying to decipher the ultimate
impact of the move by China, the world's top producer.
'In China, the antimony business has been very sluggish,'
said one trader. 'Prices are sliding down, so most buyers are
just waiting and watching.'
Steel ingredient ferro chrome, was at about
$1.25 a lb from around $1.30 a lb last week, after hitting its
highest peak since November 2008 at $1.34 a lb in April.
Traders said a three-week transport strike
in top producer
South Africa had helped steady prices in recent weeks, but with
the dispute now over prices could decline.
'Business is quite quiet,' said one trader. 'We expect
prices to drift down a little now the strike has ended.'
Three-month cobalt, used as a battery material,
was quoted at $36,800/$39,700 a tonne versus a trade at $39,400
a tonne on June 1.
'Demand is steady globally. Even the Chinese are picking up
some metal,' said one cobalt trader.
Three-month futures on molybdenum, used to make
steel, were quoted at $31,000/$33,000 a tonne, from a trade at
$39,200 on April 14.
For latest minor metals prices click on
(Reporting by Michael Taylor; editing by Jane Baird)
((michael.taylor@reuters.com; +44 207 542 0919; Reuters
messaging: michael.taylor.reuters.com@reuters.net))while they ca
n. That's why the South African price is at a $2.00 premium over
ARA,' he said.
Stockpiles in Amsterdam-Rotterdam-Antwerp have fallen by
over 400,000 tonnes during the past few weeks as utilities have
drawn down stocks and fresh shipments have not arrived to
replace them.
TRADES
An August delivery DES ARA cargo traded earlier on Thursday
at $91.50 a tonne on globalCOAL.
PRICES
A July-loading South African cargo was bid at $92.00 and
offered at $92.50, up 50 cents.
An August loading South African cargo was bid at $92.00 and
offered at $92.75, little changed.
A July delivery DES ARA cargo was bid at $90.00, up $1.00
and offered at $94.00, up $3.00.
An August DES ARA cargo was bid at $90.75 and offered at
$92.00, up $1.50.
The latest oil market report can be found at. The
latest power and gas UK market report can be found at.
(Reporting by Jackie Cowhig, editing by Jane Baird)
Keywords: COAL PHYSICAL Keywords: METALS MINOR/EUROPE
(Jacqueline.Cowhig@thomsonreuters.com; 44 7961 931 346)
COPYRIGHT
Copyright Thomson Reuters 2010. All rights reserved.
The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
over the past week as traders cited worries over European
sovereign debt and a possible slowdown in the pace of economic
growth in top consumer China.
'The European debt situation is weighing heavy on the world
markets. It's summer; it's quiet,' said one trader. 'It's
everything all in one really ... It's going to be a long
summer.'
Data on Tuesday pointed to a slowdown in the pace of
manufacturing activity in China, the world's top metals
consumer, as gradual policy tightening took a toll on new
orders.
Meanwhile, concerns over sovereign debt levels have shaken
financial markets in recent weeks, causing a sharp depreciation
in currencies such as the euro.
'I'm not so worried about a summer lull. I'm more concerned
about China cooling and European debt problems that are
impacting markets at the moment,' said another minor metals
trader.
Among individual metals, tantalite prices are
being watched closely, with traders pointing to a lack of
material from non-conflict countries.
Tantalite, which is used to make tantalum metal for
aerospace and computer manufacturing, fell to around $49 a lb
from about $50 a lb last week.
'There is no tantalite legally coming from conflict zones
like the Democratic Republic of Congo, (and) Talison is still
reported as unlikely to open mines in Australia before the
tantalite price reaches $100 per lb,' another trader said.
'Users of tantalite for super alloys are said to be nervous
of buying the metal unless certified non-conflict zone in
origin.'
Talison Minerals, once the world's top tantalum producer,
said in September it planned to reactivate its Wodgina mine in
mid-2010.
Asked for an update on the mine, a Talison spokesman said
there were no announcements and none expected in the near
future.
Among other minor metals, antimony grade 99.65,
used as a fire-proofing ingredient, declined to about $8,700 a
tonne from $9,000 a tonne last week.
The toxic metal has fallen back in recent weeks after
soaring to an all-time high at $9,550 a tonne in early May after
China cracked down on production.
Traders are desperately trying to decipher the ultimate
impact of the move by China, the world's top producer.
'In China, the antimony business has been very sluggish,'
said one trader. 'Prices are sliding down, so most buyers are
just waiting and watching.'
Steel ingredient ferro chrome, was at about
$1.25 a lb from around $1.30 a lb last week, after hitting its
highest peak since November 2008 at $1.34 a lb in April.
Traders said a three-week transport strike
South Africa had helped steady prices in recent weeks, but with
the dispute now over prices could decline.
'Business is quite quiet,' said one trader. 'We expect
prices to drift down a little now the strike has ended.'
Three-month cobalt, used as a battery material,
was quoted at $36,800/$39,700 a tonne versus a trade at $39,400
a tonne on June 1.
'Demand is steady globally. Even the Chinese are picking up
some metal,' said one cobalt trader.
Three-month futures on molybdenum, used to make
steel, were quoted at $31,000/$33,000 a tonne, from a trade at
$39,200 on April 14.
For latest minor metals prices click on
(Reporting by Michael Taylor; editing by Jane Baird)
((michael.taylor@reuters.com; +44 207 542 0919; Reuters
messaging: michael.taylor.reuters.com@reuters.net))while they ca
n. That's why the South African price is at a $2.00 premium over
ARA,' he said.
Stockpiles in Amsterdam-Rotterdam-Antwerp have fallen by
over 400,000 tonnes during the past few weeks as utilities have
drawn down stocks and fresh shipments have not arrived to
replace them.
TRADES
An August delivery DES ARA cargo traded earlier on Thursday
at $91.50 a tonne on globalCOAL.
PRICES
A July-loading South African cargo was bid at $92.00 and
offered at $92.50, up 50 cents.
An August loading South African cargo was bid at $92.00 and
offered at $92.75, little changed.
A July delivery DES ARA cargo was bid at $90.00, up $1.00
and offered at $94.00, up $3.00.
An August DES ARA cargo was bid at $90.75 and offered at
$92.00, up $1.50.
The latest oil market report can be found at. The
latest power and gas UK market report can be found at.
(Reporting by Jackie Cowhig, editing by Jane Baird)
Keywords: COAL PHYSICAL Keywords: METALS MINOR/EUROPE
(Jacqueline.Cowhig@thomsonreuters.com; 44 7961 931 346)
COPYRIGHT
Copyright Thomson Reuters 2010. All rights reserved.
The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
