Key Macroeconomic Indicators for Base Metal Prices (2017-5-26)

SHANGHAI, May 26 (SMM) –The US will release a series of economic data today, including durable goods orders, Q1 PCE and core PCE, revised Q1 GDP, as well as University of Michigan’s consumer confidence index for May.    

US durable goods orders are expected to fall 1.4% MoM in April and record the worst performance in nearly five months. US Manufacturing PMI fell in April. The US dollar will take a hit if durable goods orders turn out to be poor as expected.  

PCE price index for March was below 2% inflation target and core PCE price index in March fell for the first time since February 2016. As such, annualized PCE price index is expected to slide in Q1, which will hit the dollar. 

G7 meeting will be held today. G7 meeting and G20 financial ministers’ meeting held earlier failed to solve trade protectionism issue, so market expects issue over trade protectionism to be discussed again during the meeting this time. 

See SMM price forecast, please click: SMM Price Outlook for Base Metals on SHFE (May 26, 2017)