MARKET ROUNDUP
Industrial metals futures settled slightly higher on Tuesday after positive macroeconomic data and a weaker dollar helped the metal gain more than 1 percent before profit-taking set in.
IN FOCUS
- South Africa's mining sector needs to work closely with utility Eskom to find ways of cutting power consumption in the face of planned steep rises in electricity prices, the head of Anglo American Plc said.
- Zimbabwe's plans to impose local ownership rules on foreign firms threaten the diamond operations of mining group Rio Tinto, a company official said on Tuesday.
- Zinc concentrate production has resumed at Australia's Century zinc mine after being suspended last week due to a tropical storm, the mine's owner, Minmetals said on Wednesday.
- Diversified miner African Rainbow Minerals is on track to boost production at its Khumani iron ore mine by 2012, and was also aiming for Zimbabwe's platinum sector, its CEO said on Tuesday.
- Newmont Mining Corporation expects the first output from its Akyem gold mine in Ghana in late 2013, a senior official said on Tuesday.
- Ethiopia's parliament will pass new mining laws aimed at boosting investment in the sector by mid-2010, State Minister Sinknesh Ejigu said on Tuesday.
- Southern Copper Corp, one of the world's largest copper producers, said on Tuesday it sees average copper prices at $3.25 per pound in 2010, as it expects emerging and developed economies to boost demand of the metal.
- South Africa's mining sector needs to work closely with utility Eskom to find ways of cutting power consumption in the face of planned steep rises in electricity prices, the head of Anglo American Plc said.
- Anvil Mining said on Tuesday it plans to start producing 40,000 tonnes of copper at its Kinsevere mine in the Democratic Republic of Congo (DRC) next year before increasing output to 60,000 tonnes of copper in 2012.
- China's leading steel mills have begun talks with the big three global miners on 2010 contract iron ore prices, a report by the China Times newspaper said.
FUNDAMENTAL OUTLOOK
Industrial are trading a hair higher on international bourses. We expect industrial metals to trade sideways to up for the day. Industrial metals remained under pressure on the back of liquidity concern witnessed in China. From here onwards we expect industrial metals to trade strong and buying at dips is recommanded.