Key Macroeconomic Indicators for Base Metal Prices (2016-2-23)

SHANGHAI, Feb. 23 (SMM) – Germany’s unadjusted Q4 GDP and US January existing home sales are slated for release today. Base metals prices will diverge.

Germany’s unadjusted Q4 GDP is expected to be flat at flash data, but a decline is also likely, which will push the European Central Bank to expand its easy monetary policy.

See forecast for other base metals, please click:Price Momentum to Wane in Base Metal Market, SMM Says

Germany’s IFO Business Climate Index slid for two straight months, and ZEW economic climate index also fell significantly in February, boding ill for February IFO Business Climate Index.

US existing home sales in January should fall. Housing starts hit a three-month low in January, while December’s construction permits also dropped. NAHB home price index in January fell slightly. But US housing market will remain in recovery should its existing home sales remain above 500.