Silver Market Report February 2015

Abstract 1
1 Chinese domestic financial overview 1
1.1 January CPI growth rate below 1%, PPI drops 4.3% YOY 1
1.2 February PMI rebounds slightly 2
2 International financial overview 3
2.1 Crude oil futures prices rebound after hitting bottom 3
2.2 US dollar continues climbing in February 4
3 Company news 5
3.1 Hongda Metal to halt production temporarily late February for holiday 5
3.2 Xingye Mining to acquire Yinman Mining 5
4 Chinese domestic market review 6
4.1 Silver prices retreat gradually on the Chinese spot market during February 6
4.2 Discounts for silver ingot prices stable during February 7
5 International market review 7
5.1 London Silver prices soften continuously during February 7
5.2 Silver ETFs stocks rebound back in February 8
6 Production data 9
6.1 Major Chinese silver smelters’ silver output down by 11.87% MOM in February 9
6.2 Silver ingot stocks at major Chinese silver smelters up by 10.37% MOM in late February 2015 12
7 Import and export data analysis 13
7.1 China’s silver ore/concentrate imports up by 118.41% MOM in January 13
8 Related industry developments 15
8.1 Lead smelters cut production but production stable in copper smelters 15
8.3 Chinese palladium powder prices rise during February but the trading quiet 16
9 Outlook for silver market 17


Graph

Graph 1 China’s CPI and PPI YOY trend from 2014 to 2015 2
Graph 2: China’s PMI from 2014 to 2015 3
Graph 3: US crude oil futures prices trend on major transaction markets in February 4
Graph 4: US dollar index trend 5
Graph 5: Chinese silver ingot prices in February 2015 7
Graph 6: Loco London Silver trend in February 8
Graph 7: Silver inventories of iShare Silver trust Jan 2014-Feb 2015 9
Graph 8: proportion of silver smelters of differing scales in China 10
Graph 9: Chinese main silver smelters’ outputs Jan 2014-Feb 2015 11
Graph 10: Silver ingot stocks in China Jan 2014-Jan 2015 12
Graph 11: China silver ore and concentrate imports Jan 2014- Jan 2015 14
Graph 12: Loco London Palladium prices in February 2015 16
Graph 13: Palladium powder 99.95% prices in February 2015 17


Table 1: Silver output in Hunan, Henan and Zhejiang in February 10
Table 2 Silver ingot stocks held by smelters in Henan, Zhejiang, Gansu in February 12
Table 3：China’s silver ore/concentrate imports in January 2015 14
Table 4 Top five silver ore and concentrate importers in January 2015 and import quantities 15

.Asian Metal Copyright1 Lead smelters cut production but production stable in copper smelters 15 8Asian Metal Copyright