The following are the top stories on metals, agriculture and shipping. ECONOMIC EVENTS, AGRICULTURE REPORTS: Forecast Prior Time (N.Y.) NFIB Small Business Optimism JUN 91.2 90.9 7:30 Trade Balance MAY -$44.1B -$43.7B 8:30 IBD/TIPP Economic Optimism JUL 43.9 44.6 10:00 JOLTs Job Openings MAY 2972 10:00 Fed Minutes JUN 14:00 WASDE Corn End Stocks JUN 1000M 695M 8:30 WASDE Soy End Stocks JUN 162M 190M 8:30 WASDE Cotton End Stocks JUN 3.35M 2.5M 8:30 WASDE Wheat End Stocks JUN 702M 687M 8:30 USDA Cattle Slaughter JUL 12 128000 14:00 USDA Hog Slaughter JUL 12 380000 14:00 METAL PRICES: ($/ton) Last % Chg RSI Copper 9,516 -0.6 59 Aluminum 2,467 -0.4 39 Zinc 2,331 +0.9 53 Lead 2,655 -0.8 57 Nickel 22,900 -1.4 48 Tin 26,200 -1.5 49 OTHER MARKETS: Last % Chg % YTD U.S. Dollar Index 76.367 +0.6 -3.4 Crude Oil $94.03 -1.2 +2.9 Gold $1,544.5 -0.6 +8.7 MSCI World Index 1,303.34 -0.9 +1.8 TOP STORY: Gold Drops for First Day in Seven as Dollar Strength Cuts Demand Gold fell for the first time in seven days in London as growing concern that Europe’s debt crisis is worsening strengthened the dollar, curbing demand for the metal as an alternative investment. COMMODITY EXCLUSIVES: Oil Pushes Yields Lower Ahead of Record Debt Sale: Russia Credit Russia will hold its biggest sale of longer-term ruble bonds for at least three years as rebounding oil prices and slowing inflation help shield the world’s largest energy exporter from concern Europe’s sovereign debt woes will spread throughout the region. Saudi Arabia Said to Seek Iran Crude Supply Share to India (2) Saudi Arabia is seeking to benefit from a payment dispute between Iran and India by selling additional cargoes of crude oil to refiners in the South Asian nation, two people with direct knowledge of the talks said. JPMorgan Leads in Chemical M&A as 2011 to Challenge Record (1) JPMorgan Chase & Co. took the lead in advising on chemical mergers and acquisitions in the first half as 2011 shapes up to be a potential record beater for deals in the $2.5 trillion industry. Sichuan Hongda May Spend $3 Billion on Tanzanian Coal, Iron (1) Tanzania said Sichuan Hongda Co., a Chinese minerals company, may agree to invest $3 billion in iron ore and coal projects in the African nation in an accord that may be signed next month. Oil Inventories Decline for Sixth Week in Survey: Energy Markets U.S. crude oil supplies dropped for a sixth week, the longest stretch of declines this year, as refiners bolstered fuel output and imports fell from a 10-month high, a Bloomberg News survey showed. India’s $3 Billion Wind Market to Slump as Tax Break Nears End Ending a federal tax break for wind farms in India, the largest market for turbines after China and the U.S., would cause a $540 million drop in demand just as suppliers including General Electric Co. expand local capacity. Solar to Be EU’s Most-Installed Power Source: Chart of the Day Solar power is poised to become the most-installed energy source in the European Union this year, buoyed by subsidies in countries including Germany and Italy, according to data from renewable energy-industry groups. Cocoa Seen Climbing on Africa-Indonesia Fix: Freight Markets The U.S., the world’s biggest market for chocolate, is importing the most West African cocoa in three years as disease and taxes curb Indonesian supply, driving prices to a three- decade high. INDUSTRIAL METALS: Copper Falls for Third Day as Europe’s Debt Crisis May Broaden Copper fell for a third day in London on concern Europe’s sovereign-debt crisis may spread beyond Greece, potentially weighing on economies and curbing metals demand. Alcoa Profit Doubles as Aluminum Price Gain Outweighs Costs (1) Alcoa Inc., the largest U.S. aluminum producer, said second-quarter profit more than doubled after higher prices for the lightweight metal outweighed increasing raw-material costs. LME Aluminum Stockpiles Move to ‘Invisible’ Storage, Alcoa Says The decline in aluminum inventories on the London Metal Exchange is the result of a shift into “invisible” stockpiles rather than to consumers, said Alcoa Inc., the top U.S. producer of the metal used in cans and cars. MINING: Zambia Lures Vale, Vedanta in $6 Billion Copper-Mine Expansion Zambia, Africa’s largest copper-mining nation, is set to enter the world’s top five producers as Vale SA, First Quantum Minerals Ltd. and Vedanta Resources Plc lead more than $6 billion of investment in the country’s mines. Macarthur Coal Rises After A$4.7 Billion Takeover Proposal (2) Macarthur Coal Ltd., the world’s biggest producer of pulverized coal, surged the most in 10 years in Sydney trading following a A$4.7 billion ($5 billion) takeover proposal from ArcelorMittal and Peabody Energy Corp. PRECIOUS METALS: Economist Gartman Cutting Gold Held in Euros at Record Price (1) Dennis Gartman, the economist and editor of the Gartman Letter who correctly forecast 2008’s commodities slump, said he’s cutting his euro-denominated gold holdings as “too many people have joined the trade.” Gold Trades by Foreigners in Shanghai Surges, Exchange Says (1) Gold trading in Shanghai by foreign members of the precious-metals bourse surged more than twofold in the first half of the year as total volume jumped, the Shanghai Gold Exchange said. Gold Set to Rally to Record, Trumping Silver: Chart of the Day Gold may rally to a record $1,600, outperforming silver, as investors favor the metal to protect their wealth because of concerns about Europe’s sovereign-debt crisis and slowing global growth, Credit Suisse Group AG said. Global Gold Mined Output to Increase by 5% in 2011, GFMS Says Global mined output of gold will rise 5 percent this year from 2,689 metric tons last year, Cameron Alexander, an analyst with GFMS Ltd., said today at a briefing in Beijing. AGRICULTURE: Rice May Extend Gains as Supply Tightens on Thai Hoarding (1) Rice prices in Thailand, the world’s biggest exporter, may extend gains as supplies tighten at the end of the harvest season and millers hoard the grain on expectations of an increase in the government’s purchase price. Palm Oil Drops on Concern Stockpiles May Gain on Surging Output Palm oil fell the most in two weeks on speculation that stockpiles in Malaysia, the second largest-grower, will expand from the highest level in 18 months as production increases on favorable weather. Wheat, Corn Decline for a Second Day as Investors Shun Risk Wheat and corn fell for a second day in Chicago as investors shunned risk amid mounting concern that Europe’s sovereign-debt crisis may spread and U.S. legislators’ failure to agree on deficit reduction. Coffee Retreats Amid European Sovereign Debt Crisis; Sugar Falls Coffee fell for a fourth day in London as concerns Europe’s sovereign debt woes will worsen helped lift the U.S. dollar. Sugar also slid. Brazil’s Crystal Sugar Rises 7.3% on Strong Demand, Cepea Says Crystal sugar prices in Brazil, the world’s largest producer, climbed 7.3 percent in the first week of this month as strong demand drove prices, according to Cepea, a University of Sao Paulo research group. SHIPPING: Medvedev Orders Probe After Deadly Russian River Cruise (2) Russian President Dmitry Medvedev vowed “a complete review” of passenger ships after one of the deadliest accidents since the collapse of the Soviet Union in 1991 killed as many as 129 people on an unlicensed cruise. ECONOMIES: China’s Money Supply Growth, New Lending Rebound in June (2) China’s new loans exceeded estimates in June and foreign- exchange reserves jumped by $153 billion in the second quarter, bolstering the case for more increases in bank reserve requirements. China Banks Side With Geithner on Yuan to Challenge Goldman (1) Treasury Secretary Timothy F. Geithner has gained an unlikely ally in his push for China to let its currency rise faster: Chinese banks. Top Debt Arranger Sees Demand as Firms Bleed Cash: China Credit Guotai Junan Securities Co., China’s top corporate bond underwriter, is seeing demand for debt sold by companies linked to the nation’s cities and provinces, after its own analysts warned one-in-three of these borrowers are bleeding cash. China End-June Forex Reserves $3.20 Trillion, M2 Rises 15.9% China’s foreign-exchange reserves were $3.2 trillion at the end of June, compared with $3.04 trillion at the end of March, the central bank said on its website today. Starwood Hotels May Consider Share Listing in China, CEO Says Starwood Hotels & Resorts Worldwide Inc., owner of the St. Regis and W brands, may consider listing in Shanghai if foreign companies gain approval as it expects China to overtake the U.S. as the world’s biggest hotel market. EU Revives Buybacks for Greek Solution as Crisis Slams Italy (2) European finance ministers revived the prospect of bond buybacks to ease Greece’s plight and declined to rule out a temporary default, struggling to contain the debt crisis as investors pounded Italy, the continent’s third-largest economy. Italy Becoming Spain Makes Crisis ‘Systemic’: Chart of the Day Investors are treating Italy increasingly like Spain as contagion pushes bond yields in two of Europe’s largest economies toward levels that forced Greece, Ireland and Portugal to request external help. U.K. Inflation Slows in June for First Time in Three Months (2) U.K. inflation unexpectedly slowed in June for the first time in three months as Bank of England Governor Mervyn King repeated his view that price growth will ease to the bank’s target in two years. OTHER MARKETS: Euro Weakens, Italy Credit Risk Rises to Record as Stocks Slide The euro weakened and the cost of insuring debt from Italy, Spain and Portugal climbed to records as the chance of a Greek default increased. European stocks tumbled the most since March while Treasuries rose. Rupiah, Won to Lead Asia Currency Gains, Top Forecaster Says (1) Indonesia’s rupiah and South Korea’s won will lead Asian currency gains for the rest of 2011 as central banks use appreciation to counter inflation, says Credit Suisse Group AG, the region’s most-accurate forecaster. European Stocks Sink for Third Straight Day Amid Debt Concern European stocks tumbled, dragging the Stoxx Europe 600 Index to the biggest three-day drop since March, amid growing concern that the region’s debt crisis is spreading. Asian shares and U.S. index futures fell. Crude Declines a Third Day on European Debt, U.S. Fuel Supplies Oil declined for a third day in New York on speculation that Europe’s spreading debt crisis will curb demand for raw materials and that U.S. fuel stockpiles increased last week. ‘Double Eagle’ Gold Dispute Harkens to Last U.S. Default in 1933 The 10 rare Double Eagle gold coins at the heart of a federal trial in Philadelphia are remnants of the last U.S. government default, almost eight decades before the current stalemate in Congress over raising the debt limit. Obama Seeks Grand Bargain on Debt as Republicans Balk on Taxes President Barack Obama pushed back against Republican efforts to focus on a scaled-down deficit deal, arguing for a broader package of spending cuts and tax increases to put the U.S. on a sounder long-term fiscal footing. Assad Has ‘Lost Legitimacy,’ Clinton Says After Attacks (1) Secretary of State Hillary Clinton said Syrian President Bashar al-Assad has lost his legitimacy amid a crackdown on dissent across the country and mob attacks on the U.S. and French embassies in Damascus. SPORTS: Inter’s Sneijder Poised to Join United for $55 Million: Roundup The following is a roundup of soccer stories from U.K. newspapers, with clickable links to the Web. Berlusconi’s AC Milan May Seek Hong Kong IPO, Il Sole Reports Italian Prime Minister Silvio Berlusconi’s AC Milan soccer club may consider selling shares in a Hong Kong initial public offering, daily Il Sole 24 Ore reported, without saying where it got the information. Argentina Beats Costa Rica to Reach Copa America Quarterfinals Argentina beat Costa Rica 3-0 in a must-win match to advance to the quarterfinals of soccer’s Copa America as a group runner-up. To contact the editor responsible for this story: Stuart Wallace in London at swallace6@bloomberg.net

Source