Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Gold/Mining/Energy : Gold and Silver Juniors, Mid-tiers and Producers -- Ignore unavailable to you. Want to Upgrade?

To: LoneClone who wrote (34452)	2/28/2007 9:55:00 AM
From: LoneClone	Read Replies (1) \| Respond to of 78424

Base metals lower across the board on Chinese stock market jitters Source: AFX metalsplace.com ase metals markets were lower across the board on continued worries yesterday's plunge in the Chinese stock market, which sparked a global market sell off, will lead to reduced demand for metals. However, analysts said yesterday's sell off was overdone as the Chinese economy can probably sustain the shock falls, which were sparked by fears China plans to take firmer steps to cool the booming economy. 'The Chinese equity sell-off was not unexpected given that it comes after a 14 pct year-to-date gain and a more spectacular 130 pct advance in 2006,' said Man Financial analyst Ed Meir. He added, however, that the market could see further modest downside turbulence at least through today, even though he suspects the worst is probably over. Chinese share prices opened 1.35 pct lower today – before heading back into positive territory – after crashing 8.84 pct yesterday in their biggest one-day fall in 10 years. Stocks in Europe and the US fell around 3 pct yesterday. At 1.08 pm, LME copper for three month delivery was down at 6,175 usd a tonne against 6,230 usd at yesterday's close. Data out earlier in Asia showed China's imports of refined copper jumped an annual 86.3 pct in January to 131,851 tonnes. Import levels were also 38 pct above the December levels. Chinese copper demand was weak last year as China's State Reserve Bureau sold about 300 tonnes of its own copper stocks. Copper prices have been driven higher this year partly on expectations Chinese de-stocking has ended. However, according to BNP Paribas analyst David Thurtell, the Chinese are still not prepared to buy copper at high price levels. 'They're not stupid, they don't come back to the market and pay whatever, if they think hedge funds are trying take a piece of them they'll likely stay out,' he said. He added it is possible the central authorities are themselves playing a game of brinkmanship, attempting to cool commodity markets by fuelling speculation about 'slowdown measures' in China. Aluminium was down at 2,838 usd a tonne against 2,881 usd, under pressure from the macro-economic concerns and from a gain of 5,950 tonnes in inventories held in LME warehouses. LME aluminium inventories have risen for eight consecutive days and at 802,750 tonnes, stockpiles are now nearly 20 pct above than last November's levels. In other metals, tin was down at 13,400 usd a tonne against 13,550 usd, lead was down at 1,868 usd against 1,910 usd, nickel was down at 41,200 usd against 41,650 usd while zinc was down at 3,500 usd against 3,580 usd.