Daily Metals Insight 4-Jun-2009

Ventura Securities Ltd

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Asian stocks dropped for the first time in five days, led by mining and energy companies, as commodity prices slumped and a U.S. report showed the service sector improved less than expected.

Federal Reserve Chairman Ben S. Bernanke said large U.S. budget deficits threaten financial stability and the government can’t continue indefinitely to borrow at the current rate to finance the shortfall.

The U.S. Dollar Index, a six-currency measure, jumped 1.4 percent yesterday after touching 78.334 on June 2, the lowest level this year. Rio Tinto Group, the world’s third-biggest mining company, said copper may reverse recent gains in the next nine months as the recession creates an “uncertain” outlook.
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