Key Macroeconomic Indicators for Base Metal Prices (2016-11-4)

SHANGHAI, Nov. 4 (SMM) – Base metals overnight mostly rose, but some will face downward pressure today.

ADP’s October employment in the US weakened significantly, dampening market optimism toward US October non-farm employment. However, employment sub-indice in Philadelphia Fed’s and New York Fed’s manufacturing index and employment sub-indice of ISM manuifacturing index and non-manufacturing PMI in the US were upbeat. When combined with optimism toward US job market expressed in Fed’s November statement on interest rate, US non-farm employment in October is still expected to improve.

US October salaries will also prove health degree in US job market. US salary growth is still slow. Household income in September was better than August but fell short of market expectations. Q3 salaries also fell short of Q2 and market expectations.