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Wednesday, 18 August 2010

The latest news from around the world on the markets, sectors and companies Casey Research specializes in. Click any headline to read the full article.

Rare Earths Are Becoming a Lot More Rare   August 17, 2010
Interest in rare earths is starting to heat up in a dramatic fashion and it is something you should keep on your radar. So named because they were hard to get in the 18th and 19th century, these once obscure elements have become the focus of several converging trends in the global economy, as they are the key ingredient of magnets. There are 17 in all, divided into light (cerium, Ce; lanthanum, La, and neodymium, Nd) and heavy (dysprosium, Dy; terbium, Tb, and europium, Eu).

Driving the gold price ever higher   August 17, 2010
Six key demand factors which will come together and help drive the gold price upwards over the next couple of years.

SA Mines minister launches "major overhaul" of law   August 17, 2010
Susan Shabangu, announced a major overhaul of South Africa's mining legislation, Tuesday and added ICT and Lonmin matter to be taken to the cabinet.

China Becomes Largest Global Energy Consumer   August 17, 2010
Since the early 1900’s the U.S. has been the world’s largest energy consumer and the world’s largest auto manufacturer. It took a century to accomplish, but last year China knocked the U.S. from its perch as the world's largest auto market. Last month the International Energy Agency claimed China’s total energy usage exceeded the U.S. for the first time last year – making China the world’s largest energy consumer.

Potash Rejects $39 Billion Bid From BHP Billiton   August 17, 2010
Potash Corp. of Saskatchewan Inc., the world’s largest fertilizer producer, rejected an unsolicited $39 billion takeover proposal from BHP Billiton Ltd. as too low, prompting speculation of a higher bid.

BlueScope: demand weak, even as profits jump   August 16, 2010
Australia's biggest steel maker said while it has short-term concerns about demand and a stronger Australian dollar, it is planning for significantly improved market conditions in the medium to long term.

China CB announcement boost for metals prices   August 16, 2010
News that China's Central Bank will maintain a relatively loose monetary policy suggests metals demand there will continue and support metals prices.

Explorers to face more public scrutiny in Colorado   August 16, 2010
Proposed in-situ uranium projects may find the regulatory approval process far tougher in Colorado, while all mining explorationists will face more public scrutiny.

President Obama's Nightmare U.S. Economy   August 16, 2010
Sometimes it pays to keep flogging a dead horse. In this instance the horse is Obama's destructive economic policies.

The Expendables? Beware the Sequel    August 16, 2010
China overtook Japan for the title of "world’s No. 2 economy." Following thirty years of relentless hard work and unwavering determination, the country can now boast that it is, in fact, on course to capture the top global economic spot as well – in about another two decades – and wrest it away from the United States...

Gold and Goldman Sachs   August 13, 2010
Is Goldman Sachs suggesting $1,300 gold within six months a cue for further growth in price or a contrarian indicator that the top may have been reached?

Bolivian govt trying to defuse silver mine protest   August 13, 2010
The strikes, which have been going on for more than two weeks in the mineral-rich Potosi region, have disrupted production at three mines including two of the world's biggest silver deposits.

Canada's north adds mining production, exploration   August 13, 2010
The Conference Board of Canada has found a turnaround in the U.S. and global economic growth has reignited interest in diamonds, precious metals and other hardrock mining in Canada's three territories.

Chinese spending on gold sextupled in the 00's   August 13, 2010
The annual rate of growth of gold spending in China has been 23% this decade and the nation's gold purchases could see an additional 200 tonnes of consumption in the next decade.

Gold stocks HUI bull market seasonal analysis   August 13, 2010
Precious-metals stocks really haven’t had a great summer by any means. After rallying initially in June, they started relentlessly drifting lower in July. The net result of this lackluster summer trading is a lethargic drift sideways. Naturally this listlessness has weighed on sentiment among this sector’s traders.

South African gold production down 5.3% in June   August 12, 2010
Gold output in the country fell 5.3 percent in volume terms and total mineral production fell 4.9 percent in June compared with the same month last year, data showed on Thursday.

Rain may cut Indonesian tin output 20%   August 12, 2010
The new government forecast would take output towards levels already expected by analysts because of declining reserves and a crackdown on illegal mining.

Gold miners face transitions   August 12, 2010
Numbers from seven of the world's biggest gold diggers show that Gold miners are in the money, but face headwinds in rising costs, and scarce "pure gold" opportunities.

Fear of not flying   August 12, 2010
For the first time in six years, Japanese authorities drew one step closer to halting the seemingly endless gains in the yen via Finance Minister Noda’s cryptic message that his government will take "appropriate" action with regard to the currency. Japanese exports have come under threat from the gains the yen achieved following the Fed’s steps to boost US economic recovery on Tuesday. The currency rose beyond 85 against the US dollar; a fifteen-year high.

Rio Tinto eyeing stake in Russia's Uralkali   August 12, 2010
Global majors Rio Tinto and Potash Corp may buy into Russian potash miner Uralkali, sources said on Thursday, as the government seeks a full overhaul of the fertilisers industry.

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Copper Market News 
 LME copper - Bing News 
(Refiles to fix formatting) SINGAPORE, Feb 3 (Reuters) - London copper sagged on Friday on caution ahead of key U.S. employment data, and is heading for its first weekly loss in the past month as slow Chinese demand and worries about Greece's ...
* Front month Shanghai copper at discount to April contract * Discount flags lack of nearby demand * Coming Up: U.S. initial jobless claims; 1330 GMT (Updates prices) By Melanie Burton and Jane Lee SHANGHAI, Feb 2 (Reuters) - London copper ...
Sluggish demand from top copper consumer China and worries about Greece's drawn-out debt deal took the steam out of last week's rally. LME Price Highlights: --Aluminium Alloy advanced 0.47% to $2130 a metric ton --Aluminium dipped 1.9% to $2158 ...
(Adds comment, updates prices) * Investors watch for China's market re-entry * EU leaders grapple to reconcile austerity, growth * LME copper stocks fall to lowest since Sept 2009 By Maytaal Angel LONDON, Jan 30 (Reuters) - Copper fell on Monday ...
Feb. 3 (Bloomberg) -- Copper headed for the first weekly drop in four as stockpiles monitored by the Shanghai Futures Exchange rose to the highest since May 2010, boosting speculation demand in China, the biggest consumer, may be weakening.
According to Goldman, better-than-expected macroeconomic data together with a reduction in perceived tail risks in Europe and China led to a 16% rise in LME copper since mid-December. Goldman had identified copper as undervalued then but says it ...
Mumbai, Feb 6 (PTI) Nickel, tin and select copper prices fell at the non-ferrous metal market here today on renewed stockist selling amidst lower industrial offtake following bearish London Metal Exchange (LME) cues. Meanwhile, copper utensils scrap and ...
LME data showed stocks rose 30,525 tonnes to hit a new record ... 59900.00 1.05 SHFE Zin 16195.00 240.00 +1.50 21195.00 -23.59 ** 1st contract month for COMEX copper * 3rd contract month for SHFE AL, CU and ZN SHFE ZN began trading on 26/3/07
SHANGHAI, Jan 20 (Reuters) - London copper pared gains and slipped into negative territory on Friday, having earlier hit four-month highs, after data showed a sluggish start to the year from China's manufacturing sector. LME copper traded flat at $8,359.50 ...
Bellhaven Copper & Gold Inc. (TSX VENTURE:BHV) ("Bellhaven" or the "Company") is pleased to announce that diamond drill-holes LME-1038, LME-1041, LME-1043, LME-1046 and LME-1048 at the Middle Zone prospect have yielded multiple gold-copper intercepts ...
Mining News 
 MINING.com » MINING.com 
The company will immediately mothball four mines in central Appalachia, plans to idle two more by early next year and scale back output at other mines as US coal demand for electricity generation wanes.
South Africa's ruling party, the African National Congress, appears to be moving away from nationalization of the mining industry to reassure foreign investors but is considering new taxes and "targeted interventions" in the sector, particularly platinum mines.
The state agency of geology and mineral resources of Kyrgyzstan announced this week that in 2011, the output of the gold-mining industry of the ex-Soviet republic increased by 41.7% compared with 2010. The value of gold production dominated by the Kumtor mine owned by Canada's Centerra was $1.9 billion, almost a full 15% of the impoverished country's $13.16 billion (2011 est.) gross domestic product.
t would take 908 ounces of gold to purchase the average Manhattan apartment versus the 1996 low point of 1,030 ounces, a point where many think our asset bubble problems began (stocks, then housing).
According to a new European Wind Energy Association report a record 71% of all the new power generating capacity installed in the Europe Union in 2011 came from solar panels, offshore and onshore wind turbines and other renewable energy sources. This at the same time as the world's largest clean coal power station project appears stuck in the starting blocks.
Now we know how the clash of the titans played out in the aluminium market last December.
A new UN report says a US trade adviser appointed by Barack Obama orchestrated a $20 million deal to buy 1,045 pounds of gold in eastern DRC from warlord Bosco Ntaganda, wanted for war crimes since 2006. The botched deal by Houston oil tycoon Dr. Kase Lawal also involved his brother and former basketball star Dikembe Mutombo.
Tata Steel Minerals Canada (TSMC), the 80 per cent subsidiary of Tata Steel in Canada, has entered into a “life of mine” rail transportation contract with Quebec North Shore and Labrador Railway Company (QNS&L), a subsidiary of Iron Ore Company of Canada.
After marching steadily higher early in the week, gold and silver saw their biggest one-day losses in more than a month on Friday as hopes for more Fed money printing were dashed after the better-than-expected labor report.
Xanadu Mines has acquired two licences in the highly prospective South Gobi porphyry belt in southern Mongolia.
U.K.-listed Anglo Pacific PLC (APF.LN ) is a rare breed for a mining sector-focused company. It's primary business isn't running a mine or owning a deposit, but securing royalties from a mine's revenue stream and in turn providing long-term, secure revenue streams for its shareholders.
Over the past month they've been impossible to miss. On billboards across Hong Kong, throughout its subway network and all over its buses have been huge advertisements for little gold dragons.
Nothing is so salutary for the Chinese economy as growth in the United States, and nothing is so good for copper and iron ore prices as a strong Chinese economy. The recent drop in the U.S. jobless rate rippled across the world to these metals, and their exchange traded funds gained as a result.
Interfax-China reported that China's gold bullion output grew by 5.89% in 2011 to reach a record high of 360.96 tonnes up by 20.08 tonnes from the previous year making the country the world's largest producer for the fifth year running. The China Gold Association said that South Africa, the world's largest gold producer from 1896 to 2006, has seen output dwindle in recent years. It reported total production of 192 tonnes in 2010.
Bloomberg reported that Mitsubishi Corporation of Japan plans to almost double its copper output in 2012 after spending USD 5.39 billion to buy a minority stake in Anglo American Plc's Chilean unit.
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