FOMC
Meeting
The meeting will take place on
Tuesday-Wednesday, 26-27
of July.
The question for a rate hike remains
whether the Fed will have a single hike until the end of the year or a possible two rate hike
before the end of 2016.
BOJ
Interest Rate Decision
The BOJ meeting on Friday might be
a clarification for Shinzo Abe monetary policy plans. Abe won elections
on July 10th and as promised before, he will continue his Abenomics stimulus
program.
No change in interest rate is expected as current rate in Japan is
in negative territory.
There are speculations that the
fiscal BOJ stimulus
program will be increased from 130$ billion to 390$ billion.
Europe
Stress Testing
The stress test is designed to provide supervisors, banks and other
market participants with a common analytical framework to consistently compare
and assess the resilience of EU banks to economic shocks.
Europe stress banking test results will be published on Friday. The data could
spread light on Italy and European commission debt solution.
The Italian debt is currently 360 billion Euros and the data
release on Friday might bring to settlement of both sides.
On Thursday, ECB president Mario
Draghi announced that ECB keeps stimulus program
unchanged. However, Draghi hinted the possibility of arrangement
to Italian banks in order to improve their ability to lend funds.
COPPER
Refined Copper production from
scrap increased 5.5%
year on year to 1.307 million tons in the opening four months of 2016, as per latest figures
from the International Copper Study Group (ICSG).
ALUMINIUM
China Aluminum International Trading Co.
(Chalco Trading) cut
aluminum prices in major markets again today after a brief hike, it said
on its WeChat.
ZINC
The latest statistics published by the
International Lead and Zinc Study Group (ILZSG) indicates that global refined zinc market was in deficit of
64,000 tons during the initial five-month period of the current year.
SUPPLY SIDE: The zinc mine
output declined considerably in major producing countries including Australia, India, Ireland, Peru and
the United States. Overall, the zinc mine output declined significantly
by 7.7% during the initial five-month period in 2016
DEMAND
SIDE:
The global demand for refined zinc metal has increased marginally by 0.6% to 5.597 million
tons during January to May this year.
LEAD
The ILZSG preliminary data indicates
that global refined lead
market was in surplus of 53,000 tons during the initial five-month period in
2016.
SUPPLY SIDE: The lead mine
production reported decline
in countries such as Australia and the United States. The overall global
lead mine production
dropped by nearly 5% during Jan-May ’16
DEMAND SIDE: The global demand for refined
lead metal witnessed marginal
dip of 3.3% to 4.222 million tons during January to May this year. The
European apparent usage increased sharply by 9.8%. Chinese apparent usage
dropped by 12.4%. The usage in the United States and the Republic of Korea fell
by 1.2% and 7.5% respectively.
