for all those despondent about metal prices today, this was on bloomberg yesterday:
Nickel and Zinc Price Forecasts Raised by Standard Chartered
2006-12-20 07:24 (New York)
By Chanyaporn Chanjaroen
Dec. 20 (Bloomberg) -- Standard Chartered Plc, a U.K. bank
that makes most of its profit in Asia, raised its 2007 price
forecasts for nickel and zinc, citing tight supplies.
Nickel for delivery in three months on the London Metal
Exchange will average $26,000 a metric ton next year, Helen
Henton, head of commodity research at the bank in London, said
in a monthly report today. That's 30 percent higher than the
bank's previous forecast of $20,000 a ton.
``The market is expected to move nearer to balance in 2007,
but near-term shortages will put further pressure on stocks and
prices,'' Henton said.
Demand will outpace supplies by 25,800 tons this year, she
said, citing data from London-based metals consulting company
CRU. Nickel, used in stainless steel production, has averaged
$22,985 a ton this year.
Zinc, used to galvanize steel, will average $4,200 a ton
next year, 40 percent higher than the bank's previous forecast.
``Supplies are likely to remain tight in 2007,'' Henton
said. Concentrate, the semi-processed form of ore shipped to
smelters, remains in short supply, she said.
--Editor: Casey |
