Based on government GDP data, Japan's GDP was USD 1,288 billion during 2Q 2010, while China's GDP totaled USD 1,339 billion during the same period, surpassing Japan to become the world’s second largest economy.
Copper: China's domestic copper consumption stagnated as domestic copper prices surpassed RMB 58,000/mt, suggesting both downstream producers and speculators are taking a wait-and-see attitude towards high prices. Production in major copper consuming regions, such as Jiangsu and Zhejiang provinces, was down due to electricity restrictions during high temperature periods, reducing overall market supply. Market trading sentiment was low. (Page 3)
Aluminum: LME aluminum inventory levels fluctuated last week, and LME aluminum prices weakened. Domestic aluminum spot stocks fell continuously, but uncertainties over possible economic slowdowns caused wide fluctuations in stock markets. In general, SMM expects aluminum prices will fluctuate in a narrow band in the near term. (Page 6)
Zinc: The recent mudslides in Gansu province affected local lead-zinc mine operations and zinc smelters. SMM predicts local zinc output will fall slightly in August. (Page 8)
Lead: Last week, LME lead market experience consolidations, moving between USD 2,050-2,150/mt. Domestic lead prices returned above RMB 16,000/mt. (Page 10)
Nickel: (1.7-1.8%) NPI and (4-6%) NPI prices extended gains. (Page 12)