Metals &Mining Alert:Daily prices and news,US imposes duties on Chinese aluminum foil
Industrials (/lb): aluminum $0.98 (-1.0%), copper $3.10 (-2.2%), lead $1.10 (-2.4%), molybdenum $7.14 (+0.0%); nickel $5.25 (-1.4%); zinc $1.44 (-1.6%);Precious (/oz): gold $1,274 (+0.5%), silver $16.87 (+0.5%); Steel (/mt): ChinaHRC $618 (-0.9%), SHFE Rebar $544 (-1.4%), MB Scrap Index $301 (+1.9%);Bulks: iron ore (/dmt) $60 (-2.3%), coking coal (/mt) $178 (+0.3%), freight (BCI)3,220 (+1.2%); Energy: Brent (/bbl) $60.44 (+1.9%), WTI (/bbl) $53.90 (+2.4%),natural gas (/mmBtu) $2.75 (-4.8%), thermal coal (/t) $97 (+0.4%).
US Commerce Department issues preliminary finding that China dumpedaluminum foil in the US market and imposes duties ranging from 97-162%(preliminary anti-subsidy duties of 17-81% imposed in Aug). In 2016, importsof aluminum foil from China were valued at $389m. Final determination due on2/23/18. US foil producers had filed petitions with the government accusingChina of dumping the product. China was “strongly dissatisfied” with thedecision and urged US to correct its pricing methods. (Reuters)Iron ore declines to $60/t (-2.3% DoD) as ongoing steel output cuts in China hitmill demand, with inventory days almost doubling. However, strong marginsand mandated output cuts led mills toward higher-grade ore use. FortescueMetals increased its discount for low-grade ore to 25.5% from 23%. Consensusremains mixed on whether strong margins would underpin ore price. S&Pexpects 62% Fe price for 4Q to average $64.1/t (DBe $55/t). (SBB, DB)India’s festive gold demand lower than usual this year, per MNC Bullion, awholesaler. Physical gold market remained quiet last week as demand cooledoff after major festivals. Gold price reached a 2-month low in India last weekand premiums rose as traders were looking to cover for purchases made athigher rates. Jewelers will be looking to replenish inventory, but will do soslowly as price is falling. In China, there has been some gold buying butinvestors are more interested in stocks. (Reuters)US Oil & Gas rig count slips by 4 WoW to 909 (+352 YoY). Oil-directed rigsrose by 1 to 737 (+296), while gas-directed rigs fell by 5 to 172 (+58 YoY).
Canadian count fell by 11 WoW to 191 (+38 YoY). (SBB)ArcelorMittal to increase production capacity at its Asturias Aviles sheet mill innorthern Spain. Aviles is an integrated plant with crude steel capacity of4.7mtpa and produces high-quality steel grades for the automotive and tinplateindustries as well as for heavy plate production. Company plans to convert itsslab caster which will increase capacity to 2.7mtpa from 1.9mtpa. Ramp upcomes as company notes increasing demand for higher quality in the specialsteel market. (SBB)Commercial Metals acquires substantially all the assets of MMFX TechnologiesCorporation (MMFX). Transaction terms were not disclosed. MMFX markets,sells, and licenses the production of proprietary specialty steel products. Itoperates out of California, and sells its products throughout NA. (Company)