ISRI Monday Report -For the week beginning Monday, June 3rd

While equity markets got off to a mixed start this week, commodity prices advanced this morning as the DJ-UBS Commodity Futures Index gained 0.9%

For the week beginning Monday, June 3rd

While equity markets got off to a mixed start this week, commodity prices advanced this morning as the DJ-UBS Commodity Futures Index gained 0.9% on the back on a better than expected reading on Chinese manufacturing and weaker U.S. dollar. In London, LME official 3-mo. copper and aluminum asking prices firmed this morning to $7,365.50/mt (=$3.34/lb) and $1,919.50/mt (=87 cents/lb.) respectively. LME 3-mo. nickel reportedly traded as high as $15,600/mt (=$7.08/lb.) amid reports of nickel purchases by China’s SRB before settling back below $15,200/mt in PM trading. In New York, COMEX Jul copper was up around 4 cents to $3.33/lb.in early afternoon trading while crude oil and gold futures rose to over $93/bbl and $1,413/ton, respectively. On Wall Street, the Dow Industrials were up 0.4% in mid-day trading while the Nasdaq and S&P 500 were in negative territory following losses at the major bourses in Asia and Europe earlier today. In foreign exchange trading, the dollar weakened to $1.309 vs. the Euro and 99.2 Japanese Yen following the release of a worse than expected reading U.S. manufacturing for May.

	Last	CHG	%CHG	Prior Settle	Open	High	Low
COMEX Copper Jul ($/lb.)	3.3295	0.037	1.1%	3.2925	3.281	3.3475	3.281
COMEX Gold Aug ($/to)	1413.5	20.5	1.5%	1393.0	1388.8	1416.5	1388.3
COMEX Silver Jul ($/to)	22.8	0.5	2.3%	22.2	22.2	22.9	22.2
NYMEX Light Sweet Crude Jul ($/bbl)	93.37	1.4	1.5%	91.97	91.73	93.7	91.26
SHFE Aluminum Sep (RMB/mt)	14,875	95	0.6%	14,780	14,845	14,920	14,185
SHFE Copper Sep (RMB/mt)	52,970	210	0.4%	52,760	53,000	53,220	52,790
SHFE Zinc Sep (RMB/mt)	14,855	80	0.5%	14,775	14,890	14,915	14,810

A mixed start to the week in terms of economic releases as well as the Institute for Supply Management reported a drop in their Purchasing Managers’ Index to 49.0 in May –signaling the first contraction in the U.S. manufacturing sector since November 2012, while the Commerce Department reported today that construction spending improved 0.4% in April. A little later today we’ll get the latest figures on U.S. light vehicle sales, followed by releases later in the week on U.S. trade, labor productivity, factory orders and the big employment report due out Friday. The consensus forecast is for a 175,000 increase in private payrolls but unchanged unemployment rate of 7.5%. We’ll have all the latest economic, trade, commodity and scrap market highlights, as well as some feedback from last week’s BIR meetings in Shanghai, in this week’s much anticipated Friday Report

Date	Time	Release	Period	Consensus	Prior
Jun 03	10:00	ISM Index	May	50.9	50.7
Jun 03	10:00	Construction Spending	Apr	1.1%	-0.8%
Jun 03	14:00	Auto Sales	May	NA	5.1M
Jun 03	14:00	Truck Sales	May	NA	6.8M
Jun 04	08:30	Trade Balance	Apr	-$41.0B	-$38.8B
Jun 05	07:00	MBA Mortgage Index	06/01	NA	-8.8%
Jun 05	08:15	ADP Employment Change	May	157K	119K
Jun 05	08:30	Productivity-Rev.	01	0.5%	0.7%
Jun 05	08:30	Unit Labor Costs	01	0.6%	0.5%
Jun 05	10:00	Factory Orders	Apr	1.6%	-4.9%
Jun 05	10:00	ISM Services	May	53.5	53.1
Jun 05	10:30	Crude Inventories	06/01	NA	3.0M
Jun 05	14:00	Fed's Beige Book	Jun
Jun 06	07:30	Challenger Job Cuts	May	NA	-6.0%
Jun 06	08:30	Initial Claims	06/01	348K	354K
Jun 06	08:30	Continuing Claims	05/25	2980K	2986K
Jun 06	10:30	Natural Gas Inventories	06/01	NA	88 bcf
Jun 07	08:30	Nonfarm Payrolls	May	159K	165K
Jun 07	08:30	Nonfarm Private Payrolls	May	175K	176K
Jun 07	08:30	Unemployment Rate	May	7.5%	7.5%
Jun 07	08:30	Hourly Earnings	May	0.2%	0.2%
Jun 07	08:30	Average Workweek	May	34.5	34.4
Jun 07	15:00	Consumer Credit	Apr	$13.2B	$8.0B

*U.S. On-Highway Diesel Fuel Prices (dollars per gallon)**
				Change from
	05/13/13	05/20/13	05/27/13	week ago	year ago
U.S.	3.866	3.890	3.880	-0.010	-0.017
East Coast	3.865	3.871	3.864	-0.007	-0.076
New England	3.995	3.991	3.991	0.000	-0.081
Central Atlantic	3.910	3.925	3.928	t 0.003	-0.095
Lower Atlantic	3.807	3.809	3.792	-0.017	-0.062
Midwest	3.909	3.934	3.916	-0.018	0.121
Gulf Coast	3.739	3.775	3.775	0.000	-0.027
Rocky Mountain	3.822	3.848	3.863	0.015	-0.085
West Coast	3.969	4.008	3.986	-0.022	-0.178
West Coast less California	3.883	3.932	3.917	-0.015	-0.172
California	4.042	4.072	4.044	-0.028	-0.184

prices include all taxes

Table of the Week:Worldwide Factory Activity by Country

From Real Time Economics

Country	May PMI April PMI	April PMI	Monthly Change	Change
Austria	48.2	47.8	0.4	Contracting Slower
Brazil	50.4	50.8	-0.4	Expanding Slower
Canada	53.2	50.1	3.1	Expanding Faster
China	50.8	49.8 1.0	1.0	Expanding
Czech Republic		50.1	49.5 0.6	Expanding
Euro Zone		48.3	46.7	1.6	Contracting Slower
France		46.4	44.4	2.0	Contracting Slower
Germany		49.4	48.1	1.3	Contracting Slower
Greece		45.3	45.0	0.3	Contracting Slower
Hungary		47.1	51.5	-4.4	Contracting
India		51.0	50.1	0.9	Expanding Faster
Indonesia		51.6	51.7	-0.1	Expanding Slower
Italy		47.4	45.5	1.9	Contracting Slower
Japan		51.5	51.1	0.4	Expanding Faster
Mexico		51.7	51.7	0.0	Expanding at the same rate
Netherlands		48.7	48.2	0.5	Contracting Slower
Poland		48.0	46.9	1.1	Contracting Slower
Russia		50.4	50.6 -0.2	Expanding Slower
Saudi Arabia		57.3	58.0	-0.7	Expanding Slower
South Korea		51.1	52.6	-1.5	Expanding Slower
Spain		48.1	44.7	3.4	Contracting Slower
Switzerland		52.2	50.2	2.0	Expanding Faster
Taiwan		47.1	50.7	-3.6	Contracting
Turkey		51.1	51.3	-0.2	Expanding Slower
United Arab Emirates		55.3	54.0	1.3	Expanding Faster
U. K.		51.3	50.2 1.1	Expanding Faster
U.S.		49.0	50.7	-1.7	Contracting
Vietnam		48.8 51.0	-2.2	Contracting