Daily Metals Insight 15-Jun-2009

Ventura Securities Ltd

Foreign direct investment in China fell for an eighth month from a year earlier as companies cut spending to weather the worst economic slump since the Great Depression.

Investment slid 17.8 percent in May to $6.38 billion, the commerce ministry said at a briefing in Beijing, after falling 22.5 percent in April. China is relying on government-led spending under a 4 trillion yuan ($586 billion) stimulus plan to revive growth.

The Dollar Index, which tracks the greenback against six major trading partners, gained a second day after Russian Finance Minister Alexei Kudrin said the dollar is in “good shape.”

The dollar rose broadly on Monday as investors took profits on other major currencies which had climbed to multi-months highs on hopes for a recovery in the global economy.