Key Macroeconomic Indicators for Base Metal Prices (2016-6-23)

SHANGHAI, Jun. 23 (SMM) –Market will eye June manufacturing PMIs from the euro zone and US and US new home sales today. With UK referendum just around the corner, market caution will intensify. 

France’s manufacturing PMI might remain below 50 in June, which will be a drag on manufacturing in the euro zone. Manufacturing PMIs in Germany and the euro zone are expected to continue rising.  

New York and Philadelphia Fed manufacturing indexes for June were positive. US manufacturing PMI pointed to expansion for three consecutive months in May. As such, US manufacturing PMI for June is expected to be positive as well.  

US new home sales might fall in May due to high base in April. US pending home sales rose 5.1% MoM in April, beating forecast, which means any decline in US new home sales will be limited in May. 

Both sides are still at loggerheads over Brexit. US Fed Chairwoman Janet Yellen said UK exit from the EU will have great impact on the US. 

See SMM price forecast, please click: Caution to Dominate Base Metal Market before UK Referendum, SMM Says