Beroe Weekly Update

Weekly Update Categories

• Aluminum
• Magnesium
• HRC
• Crude Oil
• Stainless Steel
• Nickel (LME)
• Molybdenum (LME)
• Ferrochrome (China, Europe)
• Copper (LME, Global)
• Foundry Coke

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 Weekly Update – Aluminium
Currency Price Trend Currency Price Change Currency impact
Aluminium & Outlook
EUR-USD USD-CNY
EUR-USD USD-CNY
1.134 6.72 08-Apr-19 1.125 0.12% 08-Apr-19 6.719 0.02% EUR–USD:
1.132 6.72
1.130 6.72 The EUR-USD post decreasing to lowest levels of 1.12 is
1.128 6.72
09-Apr-19 1.128 0.28% 09-Apr-19 6.712 0.11% recovering and is expected to increase to higher levels as per
EUR-USD

USD-CNY
1.126 6.71
1.124 6.71 the recent consolidating range. The extension to Brexit
1.122 6.71
1.120 6.71 0.08% deadline has provided as temporary respite and hence will
1.118 6.71 10-Apr-19 1.128 0.02% 10-Apr-19 6.717
1.116 6.70
reflect in further consolidation of the exchange rate.
1.114 6.70 USD-CNY
1.112 6.70
11-Apr-19 1.126 0.13% 11-Apr-19 6.718 0.02% The USD-CNY continues to remain stable at 6.7 levels as US
01-Apr-19

02-Apr-19

03-Apr-19

04-Apr-19

05-Apr-19

08-Apr-19

09-Apr-19

10-Apr-19

11-Apr-19

12-Apr-19
yields are witnessing recovery and hence higher yield spread
12-Apr-19 1.132 0.51% 12-Apr-19 6.708 0.15% with China can correspond to further weakening of the Yuan
in upcoming weeks. USD-CNY exchange rate is expected to
remain stable around 6.7 with marginal positive bias.

Aluminium Price Trend Aluminium Price Change Market impact

Aluminum & Outlook
1900
EUR/MT CNY/MT
1890 Price Drivers:
1880 08-Apr-19 1650.28 0.69% 08-Apr-19 12613.51 0.57% Aluminium prices continue to trade with mixed sentiments on
a softer dollar index along with the positive global equity
USD/MT

1870
09-Apr-19 1641.22 0.55 % 09-Apr-19 12804.00 1.51% indexes. Moreover Chinese aluminium production as well as
1860
fresh UC Rusal materials continue to weigh on bullish
1850 sentiment on the supply front.
0.16% 10-Apr-19 12872.44 0.53%
1840 10-Apr-19 1643.80 According to the World Bureau of Metal Statistics (WBMS),
1830 the global refined aluminium market ran another annual
11-Apr-19 1640.52 0.20% 11-Apr-19 12667.68 1.59% shortfall of 859,000 tonnes in 2018, following a 1.21 million
1820
tonne deficit in 2017.
01-Apr-19

02-Apr-19

03-Apr-19

04-Apr-19

05-Apr-19

06-Apr-19

07-Apr-19

08-Apr-19

09-Apr-19

10-Apr-19

11-Apr-19

12-Apr-19

12-Apr-19 1630.57 0.61% 12-Apr-19 12543.59 0.98%

Weekly Update – Crude Oil
Currency Price Trend Currency Price Change Currency impact
Crude oil & Outlook
EUR-USD USD-CNY
EUR-USD USD-CNY
1.134 6.72 08-Apr-19 1.125 0.12% 08-Apr-19 6.719 0.02% EUR–USD:
1.132 6.72
1.130 6.72 The EUR-USD post decreasing to lowest levels of 1.12 is
1.128 6.72
09-Apr-19 1.128 0.28% 09-Apr-19 6.712 0.11% recovering and is expected to increase to higher levels as per
EUR-USD

USD-CNY
1.126 6.71
1.124 6.71 the recent consolidating range. The extension to Brexit
1.122 6.71
1.120 6.71 0.08% deadline has provided as temporary respite and hence will
1.118 6.71 10-Apr-19 1.128 0.02% 10-Apr-19 6.717
1.116 6.70
reflect in further consolidation of the exchange rate.
1.114 6.70 USD-CNY
1.112 6.70
11-Apr-19 1.126 0.13% 11-Apr-19 6.718 0.02% The USD-CNY continues to remain stable at 6.7 levels as US
01-Apr-19

02-Apr-19

03-Apr-19

04-Apr-19

05-Apr-19

08-Apr-19

09-Apr-19

10-Apr-19

11-Apr-19

12-Apr-19
yields are witnessing recovery and hence higher yield spread
12-Apr-19 1.132 0.51% 12-Apr-19 6.708 0.15% with China can correspond to further weakening of the Yuan
in upcoming weeks. USD-CNY exchange rate is expected to
remain stable around 6.7 with marginal positive bias.

Crude Oil Price Trend Brent Crude Oil Price Change Market impact
Crude Oil & Outlook
Price Drivers:
72.0 Brent Crude Oil USD/bbl Brent crude oil prices increased to higher levels of 72
71.5
71.0 08-Apr-19 71.1 1.08% USD/bbl. Notably, the momentum is witnessing decrease as
70.5
levels above 70 have been witnessed and hence crude oil
USD/bbl

70.0
69.5 09-Apr-19 70.61 0.69% prices are expected to decline in upcoming weeks.
69.0 Production cut has sustained from OPEC which has supported
68.5
price levels with demand improving from emerging
68.0 10-Apr-19 71.73 1.59%
67.5 economies like India which consumed more than 5 mbpd in
01-Apr-19

02-Apr-19

03-Apr-19

04-Apr-19

05-Apr-19

08-Apr-19

09-Apr-19

10-Apr-19

11-Apr-19

12-Apr-19

Mar-19. As price levels increase, supply pressures are

11-Apr-19 70.83 1.25% expected to increase coupled with slowdown in demand
growth rate which will be negative for crude oil prices.
12-Apr-19 71.55 1.02% Crude oil prices are expected to reverse negatively to below
70 USD/bbl in upcoming weeks.
 Weekly Update – Copper
Currency Price Trend Currency Price Change Currency impact
Copper & Outlook
EUR-USD USD-CNY EUR–USD:
EUR-USD USD-CNY
1.134 6.72 0.12% 08-Apr-19 6.719 0.02% The EUR-USD post decreasing to lowest levels of 1.12 is
1.132 6.72
08-Apr-19 1.125
recovering and is expected to increase to higher levels as per
1.130 6.72
1.128 6.72 the recent consolidating range. The extension to Brexit
09-Apr-19 1.128 0.28% 09-Apr-19 6.712 0.11%
EUR-USD

USD-CNY
1.126 6.71
1.124 6.71 deadline has provided as temporary respite and hence will
1.122 6.71 reflect in further consolidation of the exchange rate.
1.120 6.71 0.08%
1.118 6.71 10-Apr-19 1.128 0.02% 10-Apr-19 6.717 USD-CNY
1.116 6.70
1.114 6.70
The USD-CNY continues to remain stable at 6.7 levels as US
1.112 6.70
11-Apr-19 1.126 0.13% 11-Apr-19 6.718 0.02% yields are witnessing recovery and hence higher yield spread
01-Apr-19

02-Apr-19

03-Apr-19

04-Apr-19

05-Apr-19

08-Apr-19

09-Apr-19

10-Apr-19

11-Apr-19

12-Apr-19
with China can correspond to further weakening of the Yuan
0.15% in upcoming weeks. USD-CNY exchange rate is expected to
12-Apr-19 1.132 0.51% 12-Apr-19 6.708
remain stable around 6.7 with marginal positive bias.

Copper Price Trend Copper Price Change Market impact

6520 Copper & Outlook
6500
Price Drivers:
EUR/MT CNY/MT LME copper prices have also remained mixed as risk
6480 sentiment in China driven by weaker-than-expected activity
08-Apr-19 5796.19 0.38% 08-Apr-19 43615.46 0.19%
6460 data for January-February and weaker present fundamentals
USD/MT

due to surge in exchange inventories (LME and SHFE).

6440 09-Apr-19 5748.84 0.82% 09-Apr-19 43239.82 0.86% LME stocks, at 186,425 tonnes as of March 14, are up 54,250
6420 tonnes (41%) on the quarter. SHFE stocks, at 264,601 tonnes
6400 10-Apr-19 5767.03 0.32% 10-Apr-19 43506.58 0.62% as of March 15, are up around 146,000 tonnes (123%) so far
this quarter
6380
11-Apr-19 5744.48 0.39% 11-Apr-19 43286.03 0.51% However The ICSG estimates that the refined copper market
6360 was in a deficit of 395,000 tonnes in the first 11 months of
01-Apr-19

02-Apr-19

03-Apr-19

04-Apr-19

05-Apr-19

06-Apr-19

07-Apr-19

08-Apr-19

09-Apr-19

10-Apr-19

11-Apr-19

12-Apr-19

2018, including a deficit of 52,000 tonnes in November.

12-Apr-19 5722.43 0.38% 12-Apr-19 43123.47 0.38%