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 China’s silver oreconcentrate imports up by 118Asian Metal Copyright