Triland Metals Forecasts LME Prices Totally Down in 2008

Triland Metals of United Kingdom, a ring member of London Metal Exchange, forecasts annual average of LME nonferrous metal prices would decline in 2008 compared with 2007 for all metals other than tin, according to a quarter report by Triland Metals. Especially copper and aluminium prices would be impacted by the downtrend of construction market.The firm expects annual average of LME 3-month copper would be around US$ 6,800-7,000 per tonne in 2008. Copper demand is in downtrend in USA and Europe. Triland Metals described European copper demand is being slower due to the decline of construction markets in Spain and German despite of the steady consumption in 2007. The firm also pointed out Chinese importers are decreasing copper purchasing volume in 2008.LME 3-month aluminium price is expected to be around US$ 2,300-2,500 per tonne at annual average in 2008, according to the report. The firm estimates LME aluminium inventory would continue increasing and exceed 1 million tonnes by the end of 2008, which expanded by 30% to above 900,000 tonnes within 2007.Triland Metals explained in the report demand for aluminium maintains strong in China while is decreasing in other Asian countries including Japan, South Korea, Taiwan and Malaysia. In Europe demand for aluminium keeps strong from automobile, aerospace, marine transporting industries, while spot premium downed in October-December 2007. The firm pointed out US housing market is remarkably declining in the latest half year and would become even worse.