March 2016 cable raw materials (copper) monthly report

1.
Data released by the US Department of Labor (DOL) showed that the US import price index fell by 0.
3% m/m in February, down 0.
6% expected, and down 1.
0%
in the previous month.
The data also showed that the US import price index fell 6.
1% y/y in February, the smallest year-on-year decline since December 2014
.
Weak import prices are one of the reasons why inflation remains below the Federal Reserve's 2% target, down 6.
5% expected and 6.
3%
in the previous month.

2.
The Philadelphia Fed released a report that the manufacturing activity index in its jurisdiction hit the highest since June 2015 in March, showing a strong momentum in the manufacturing industry
.
Data showed that the Philadelphia Fed manufacturing index rose to +12.
4 in February, much better than the forecast of -1.
7, and -2.
8
in February.

3.
The data shows that the growth rate of China's real estate investment has rebounded for the first time in two years, and has driven the overall investment growth rate to rebound
.
From January to February, the growth rate of real estate development investment nationwide increased by 2 percentage points from the end of last year to 3%, which is the first time that the data has rebounded
in two years.
During the same period, the sales area of commercial housing increased by 28.
2% year-on-year, and sales soared by 43.
6%.

4.
Statistics show that China's industrial production growth rate has fallen to a more than seven-year low, and consumption growth has also fallen to a nine-month low
.
From January to February, the year-on-year growth rate of industrial added value fell by 0.
5 percentage points from 5.
9% last year to 5.
4%, while consumption fell 0.
9 percentage points from the previous month to 10.
2%.

5.
The latest release of China's February CPI annual rate rose 2.
3% year-on-year, has achieved 5 consecutive increases, PPI annual rate fell 4.
9% year-on-year, flat than expected, the decline was significantly narrowed from -5.
% of the previous value, continued to bottom out and stabilize, inflation data continued to improve to ease market tension, giving copper price support
.

6.
Data released by Eurostat showed that private consumption increased by 0.
2% in the fourth quarter of last year, and public sector spending increased by 0.
6%.

Gross fixed capital formation grew by 1.
3 per cent and exports by 0.
2 per cent
.
The data also showed that in the fourth quarter, the eurozone overall economy grew by 0.
3%, in line with the preliminary value disclosed on February 12 and the increase in
the third quarter.