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| Ex-CEO is back to haunt CME Crain's Chicago Business James McNulty is preparing to storm the futures empire he helped build. As Chicago Mercantile Exchange CEO, Mr. McNulty engineered the company's initial public offering in 2002 and oversaw a doubling of its share price. But one year after the IPO, he was shown the door amid friction with CME's member-controlled board over his pay and management style. http://bit.ly/hkxhk ***** This is a full-on feature story from Ann Saphir that includes the politics, personalities and history that will make this new rivalry fascinating to watch. Electronic markets take on the middlemen of India FT.com ... But in spite of its appetite for the metal – India consumes 800 tonnes a year, about 20 per cent of world demand – the subcontinent has not been the centre of price discovery for gold. That has largely been left to international markets. http://bit.ly/hWCo8 ***** India's gold market is very much in the news with new National Spot Exchange Ltd, which launched today, and the Universal Commodity Exchange, which has applied for reg. clearance. Gold imports were way up as well. Universal Commodity Exchange plans national bourse Reuters Universal Commodity Exchange has approached the Forward Markets Commission to set up India's sixth national level commodity exchange, B.C Khatua, chairman of FMC told Reuters on Tuesday. http://bit.ly/6XoOx
Comex daily delivery notices: http://bit.ly/c7qtJ Gold stocks: http://bit.ly/Z9hDW Silver stocks: http://bit.ly/53TGn |
| Lead Stories |
| Billions of dollars down the tubes Mineweb The world's most overpriced mining acquisitions, during the 2001 to 2009 "Xstrata era", and the sometime horrifying damage. http://bit.ly/17UlSi Saudi Arabia Diversifying into Metals metalminer.com ... A number of foreign firms working new sites in the historically rich area of western Saudi known as the Cradle of Gold are gradually raising the annual gold production above the 5.7 tons produced last year reports the FT. http://bit.ly/18AEUU India taps into domestic gold stocks FT.com India is on Tuesday set to begin trading on its new gold bullion market in an attempt to mobilise the thousands of tonnes of the precious metal that the country's households keep hidden under their beds as savings. http://bit.ly/ZEZTB India to Lure Housewives With Mini Gold Contracts Bloomberg.com National Spot Exchange Ltd., India's biggest bourse for trading physical gold, launched contracts in small denominations, aimed at households in the world's largest consumer of the precious metal. http://bit.ly/7oyLe |
| Futures & ETF News |
| Top 5 ETF Performers Relate to China and Commodities Seeking Alpha We've basically reached the midway point of 2009. Granted, we can talk about the resurrection of industrial metals, the resilience of emerging regions and/or the miraculous turnaround for financial stocks off of the March lows. http://bit.ly/xUZbR Diversify to Fight Inflation TheStreet.com The argument over inflation has reached fever pitch as investors turn to gold, TIPS and index funds to diversify their portfolios and beat the specter of declining purchasing power. http://bit.ly/PX5Y4 ETF Securities gold ETC holdings fall 0.013 pct Reuters ETF Securities said on Monday the amount of gold it holds to back its Gold Bullion Securities exchange-traded commodity fund declined 567 ounces on June 26. http://bit.ly/15WqU4 Six ETF Stories from the First Half of '09 Seeking Alpha With a roller coaster six months behind us that saw no shortage of interesting twists and turns and unsuspected headlines, we've finally reached the midway point of 2009. http://bit.ly/HCx22 London Stock Exchange Welcomes New ETC Issuer Mondovisione ...Source Chooses London To Expand ETC Offering "Source has listed its Physical Gold ETC (Gold P-ETC) which tracks the performance of gold by investing directly in gold bullion and has chosen London Stock Exchange in order to make its product available for trading in US dollars. http://bit.ly/aWlVD |
| Investments |
| Is Gold a Hedge on Uncertain Dollar Outlook? Seeking Alpha The opinion of currency analysts on the immediate outlook for the US dollar is almost evenly divided between two extremes: those who think the dollar will rise significantly in value by the end of the year; and those who conclude that the greenback will fall. http://bit.ly/VK0un Commodity Broking's Barratt Says Gold a `No-Go Zone': Video Bloomberg.com Jonathan Barratt, managing director at Commodity Broking Services Pty, talks with Bloomberg's Catherine Yang about his investment strategy for gold. http://bit.ly/Rr2Yr Gold and Deflation: A Trick Question whiskeyandgunpowder.com ... Gold, like silver, gained in purchasing power during deflation but lost out to inflation. The only things to rise during commodity-price inflations were commodity prices and social unrest. http://bit.ly/xpRmW Copper to outperform as Chinese dragon breathes life Mineweb As China's dragon has breathed life back into commodity prices, Scotiabank's Patricia Mohr expects copper imports to decline in the summer and rebound late this year and early 2010. http://bit.ly/FJcOs Emerging Markets Outlook Is ‘Optimistic,' Faber Says Bloomberg.com The outlook for emerging markets is “far more optimistic” than for developed economies as growth picks up, said investor Marc Faber, who advised investors to buy gold before its eight-year rally. http://bit.ly/WMk6U Pervan Sees Gold Rising to $1,000 on U.S. Dollar Decline: Video Bloomberg.com Mark Pervan, a senior commodity strategist at Australia and New Zealand Banking Group Ltd., talks with Bloomberg's Susan Li about the outlook for gold prices. http://bit.ly/fLr5K |
| Production News |
| TRANSPORTING PRECIOUS METAL The Globe and Mail Transporting 17,500 troy ounces of gold - about 544 kilograms, the weight of five newborn African elephants - is a task that would require some serious muscle. http://bit.ly/29y2xU |
| Regulatory News |
| UCX seeks FMC nod to set up national commodity bourse Press Trust of India Universal Commodity Exchange has applied for necessary clearance from the commodity market regulator, FMC, to set up a national level exchange in the country. http://bit.ly/eTRtk |
| Reports & Macroeconomics |
| India likely imported 8-10 T of gold in June Reuters India's gold imports in June were likely around 8 to 10 tonnes, down from 24 tonnes the same month a year ago, a senior official from Bombay Bullion Association (BBA) said on Tuesday. http://bit.ly/hbMmy Chile Copper Output Fell 2.3% to 454,455 Tons in May Bloomberg.com Chilean copper output fell 2.3 percent in May from a year earlier, the government said. http://bit.ly/Xajjc |
| Miscellaneous News |
| Review Finds C$19 Million of Gold Missing From Mint, Globe Says Bloomberg.com An independent audit of the Royal Canadian Mint's records concluded that about C$19 million ($16.5 million) worth of gold is missing and appears to be a theft, the Globe and Mail reported. http://bit.ly/mdZah Audit fails to rule out gold heist at Mint TheStar.com The federal government has ordered an immediate review of security at the Royal Canadian Mint after an external audit suggested criminal activity could be behind the disappearance of $15.3 million worth of gold and other precious metals. http://bit.ly/15s7QD Barclays Hires Analysts for Latin America Research Bloomberg.com Barclays Plc, the U.K.'s third- largest bank, hired five analysts for its Latin American equity research team as part of an expansion into the region. http://bit.ly/IyCr2 More Defense funds for metals may be in works AMM.com More funding may be on the way for steelmakers and other metal producers via Title III of the Defense Production Act (DPA), according to industry and government sources. http://bit.ly/3x7tEm Gold in the headlines Town Sees Riches in Abandoned Gold Mine WSJ.com Eight years after the Homestake gold mine here was shut down, this town is fashioning an unlikely economic-stimulus plan from the warren of tunnels the miners left behind. http://bit.ly/KMWGF ***** Not market related, but a cool science story about re purposing a mine. Guts, gold and dollars: Three looks at Catholics defiant, devoted USA Today ... In Chicago's Melrose Park neighborhood, parishioners gave their personal gold -- wedding bands, watches etc -- to be melted down for two 14-carat gold crowns, valued at $75,000 for a statue of "La Madonna del Carmine" and the baby Jesus, as expressions of gratitude to Mary. http://bit.ly/1cCpM |
| Physicals & Company News |
| India Resource Firms May See Profit Hit Despite Demand WSJ.com ... Companies selling steel, aluminum, copper and cement are expected to generate higher sales volumes on rising automobile sales and government spending on infrastructure, but price realization will be hit by low global metals and steel prices and overcapacity in India's cement sector. http://bit.ly/n34wz Xstrata's Davis defends nil-premium bid miningmx.com MICK Davis, Xstrata CEO, defended his company's decision not to pay a premium for Anglo American claiming the proposed merger did not remove any optionality for Anglo shareholders. http://bit.ly/Of6Io Xstrata Bid for Anglo May Herald Revival of Moribund M&A Market Bloomberg.com Mergers and acquisitions may show signs of recovering from a six-year low as the credit freeze thaws and chief executive officers such as Xstrata Plc's Mick Davis gain confidence to do deals. http://bit.ly/MSCU2 ***** On the other hand... Xstrata's Davis Says Lonmin Bid ‘One Deal Too Many' Bloomberg.com Xstrata Plc Chief Executive Officer Mick Davis, who's pursuing a 23.5 billion-pound ($39 billion) merger with Anglo American Plc, said his attempt last year to acquire platinum producer Lonmin Plc was “one deal too many.” http://bit.ly/fJenS Vedanta's Konkola May Lose 10,000 Tons of Production Bloomberg.com Vedanta Resources Plc's copper smelter in Zambia may lose about 10,000 metric tons of production after it was shut down because of a technical fault, said spokesman Rahul Kharkar. http://bit.ly/Kuq53 Severstal Asked to Improve High River Offer, Vedomosti Reports Bloomberg.com Four minority shareholders of Toronto-based High River Gold Mines Ltd. said OAO Severstal should improve an offer for the shares it doesn't already own, Vedomosti reported, citing Ryan Dodd, a partner of Specialized Asset Management. http://bit.ly/W6LTN Orkney gold mine tender restarted miningmx.com THE bidding process for Pamodzi Gold's Orkney mine has been re-opened after Simmer & Jack, one of the leading bidders, opted out of the process earlier in June. http://bit.ly/39Nuc7 Rio Tinto Iron Ore Prices May Revert to Spot Level Tomorrow Bloomberg.com Rio Tinto Group, the world's second biggest iron-ore producer, said some contracts may revert to spot market pricing tomorrow as China's steelmakers argue for a deeper cut than Asian rivals agreed. http://bit.ly/M3Ib5 Hindalco Full-Year Net Falls 80% on Derivatives, Cost Bloomberg.com Hindalco Industries Ltd., India's biggest aluminum producer, reported an 80 percent decline in full-year profit because of waning demand, higher raw material costs and derivatives losses. http://bit.ly/2SnYN SAfrica mining union keen to bargain with Angloplat Reuters South Africa's mineworkers union said on Tuesday it would be willing to lower its 15 percent wage increase demand for its members at Anglo Platinum (AMSJ.J) as a trade-off for the company coming close to meeting its other demands. http://bit.ly/4GnGXf BHP to Halt Some Production at Bayside Aluminum Plant Bloomberg.com BHP Billiton Ltd., Africa's biggest aluminum producer, will stop some output at its Bayside smelter in South Africa at the end of September as demand weakens. http://bit.ly/MhppS Ruukki's acquisition safari miningmx.com FINNISH metals refining group Ruukki is to merge with ASX-listed Sylvania Resources in the next stage of its strategy to expand into southern Africa. http://bit.ly/c0FKO Finland's Ruukki to buy Sylvania for 268 mln euros Reuters Finland's Ruukki Group Plc said on Tuesday it would acquire Australia's platinum-group metals producer Sylvania Resources Ltd for 268 million euros ($378.1 million) under a merger implementation agreement. http://bit.ly/Eq0LX Schnitzer Steel posts fiscal 3Q loss Boston.com Schnitzer Steel Industries Inc. posted a fiscal third-quarter loss Tuesday, missing Wall Street estimates as revenue dropped in its metals recycling, auto parts and steel manufacturing businesses. http://bit.ly/3tY27Y BHP Closes Parts of Perseverance Mine After Rock Fall Bloomberg.com BHP Billiton Ltd., the world's biggest mining company, said parts of its Perseverance nickel mine in Western Australia are closed following a rock fall, the second such event to suspend operations this month. http://bit.ly/1pV5L Gammon Gold says lenders agree to waive covenant breach Reuters Canadian gold producer Gammon Gold Inc (GAM.TO) said its lenders have agreed to waive the current loan covenant breach and granted it access to the undrawn portion of its $50 million credit facility. http://bit.ly/4klVPH Zambia: Chinese Firm Invests in Copper Mines allAfrica.com The China Non-Ferrous Metal Mining Company (CNFC) has taken charge of Zambia's Luanshya Copper Mines, reports the Times of Zambia. http://bit.ly/KHPCB Japan Steel Sheet Export Recovers to Asian Market for Jul-Sep Japan Metal Bulletin Japanese integrated steel makers' sheet export is recovering. http://bit.ly/Jf8ny Minatura Gold Announces Change in Officers and Directors BUSINESS WIRE Minatura Gold announced today that it has put into place new officers and directors to commence gold mining operations in Colombia in anticipation of completing its merger with Gold Resource Partners, LLC. http://bit.ly/Qpqfd |
