3 June 2019
Metals Weekly
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Research, Sales and Trading team.
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Private miners hike iron ore prices again; pellet prices up ~7%
Indian steel:
Long product (TMT Mumbai) prices declined ~1% WoW.
Sponge iron prices were ~2% WoW lower, while scrap prices remained
unchanged. Iron ore prices for Rungta increased WoW. This is the
second price hike over the past two weeks. Pellet prices rose 7% WoW.
Domestic HRC prices were unchanged WoW. Export and import price
offers were lower.
Raw materials:
Iron ore prices (China CFR) decreased ~1% WoW. Thermal
coal prices were down ~7% WoW. Coking coal prices were ~2% lower.
China’s pellet import prices were slightly lower WoW. Chinese graphite
electrode prices were broadly unchanged.
Europe:
CIS HRC export prices were ~2% higher WoW.
China steel prices:
Chinese HRC and rebar prices were ~1% lower WoW.
Export prices for HRC decreased ~1% WoW.
Base metals:
Aluminum (cash LME) prices were unchanged WoW. Copper
(cash LME) prices declined ~2% WoW. Zinc (cash LME) prices were ~1%
lower WoW. Lead (cash LME) prices declined ~2% WoW. Brent crude
prices were down ~6% WoW.
Investors are advised to refer through
important disclosures made at the last
page of the Research Report.
Dhruv Muchhal
(Dhruv.Muchhal@MotilalOswal.com); +91 22 6129 1549/
Aniket Mittal
(Aniket.Mittal@MotilalOswal.com)

Metals Weekly
Contents
Page No.
Ferrous
India
China
Other regions
Steel raw material
3-10
3,4 & 5
6
7, 8
9, 10
Non-ferrous
Aluminum
Copper
Zinc
Lead
Crude Oil
Commodity curve analysis
China non-ferrous trade data
11-18
11
13
14
15
16
17
18
Key indicators
Industrial production growth across the globe
BSE announcements
Metals valuation matrix
Metals stock performance
19-20
21
22
23
24
3 June 2019
2

Metals Weekly
Ferrous
HRC prices were
unchanged WoW at
INR41,000/t
Ferrous
INDIAN DOMESTIC MARKET
HRC prices (INR/T, excl. GST)
Spot
50,500
46,000
41,500
37,000
32,500
Quaterly average
Avg. is up INR5 QoQ
Long products (TMT
Mumbai) prices were 0.6%
lower WoW at
INR35,000/t.
Rebar prices (INR/T, exl. GST)
44,500
41,500
38,500
35,500
32,500
29,500
Spot
Quaterly average
Avg. is down INR1041 QoQ
Sponge iron (made from lumps) prices & spreads to Rebar (INR/T, excl. GST)
Sponge iron prices were
1.5% lower at INR19,600/t.
27,000
24,000
21,000
18,000
Coal based Sponge (Raipur) - LHS
Sprea ds (Rebar – 1.25x s ponge) - RHS
15,000
12,000
9,000
6,000
India: Integrated steel mills spreads (Import parity HRC – 1xcoking coal)
Indian integrated steel mills spreads (INR/t)
43,000
39,000
35,000
31,000
27,000
23,000
19,000
15,000
Source: SteelMint, WSA, MOSL
3 June 2019
3

Metals Weekly
Ferrous
Ferrous
INDIA
Scrap Mandi & spreads to Rebar (INR/t)
Scrap (Mandi) - LHS
Sprea ds (Rebar – 1.1x s cra p) - RHS
Scrap prices were
unchanged WoW at
INR24,900/t.
32,000
29,000
26,000
23,000
20,000
18,000
15,000
12,000
9,000
6,000
Iron ore lumps (INR/t)
Iron ore lump prices for
Rungta mines rose
INR300/t.
7,500
6,500
5,500
4,500
3,500
2,500
1,500
NMDC 6-40mm (CG)
Lumps 5-18 (Odisha)
Iron ore fines (INR/t) ex mine
Iron ore fines prices for
Rungta mines rose
INR200/t.
4,100
3,700
3,300
2,900
2,500
2,100
1,700
1,300
Rungta Fines 63% (Odisha, incl. royalty)
NMDC Fines, ex-royalty
Pellet (Barbil) INR/t
Pellet prices increased 7%
WoW to INR6,150/t.
9,800
8,800
7,800
6,800
5,800
4,800
3,800
2,800
Pellet (Barbil)
Source: SteelMint, WSA, MOSL
3 June 2019
4

Metals Weekly
India Monthly steel trends
Steel consumption (mt) and growth (trailing 12-month) YoY %
India steel demand grew
9.1% YoY in March 2019.
Cons. (mt)
12.0
10.0
8.0
6.0
4.0
2.0
0.0
-2.0
Trailing 12m Growth (%)
Steel imports and exports - kt
India was a marginal net
importer of steel in March
2019.
1,000
500
0
-500
-1,000
Net steel imports (kt)
Sponge iron production - kt
Sponge iron production
was up ~ 12% YoY to
2.83mt in March 2019.
Sponge iron production - kt
Crude steel production & finished steel inventories - mt
Crude steel production - mt
Finished steel inventories - mt
Crude steel production
was down 1% YoY
in March 2019.
Inventories lowered
0.2mt MoM to 9.2mt
10.0
9.0
8.0
7.0
6.0
5.0
4.0
Source: JPC
3 June 2019
5

Metals Weekly
China
China domestic prices (USD/ton)
Chinese local HRC and
Rebar prices were ~1%
lower WoW.
700
650
600
550
500
450
400
Rebar
HRC
Steel spreads (Steel price – 1.6x iron ore – 0.55x coke) for Chinese producers
Chinese steel product
spreads were lower.
490
410
330
250
170
90
HRC
Rebar
Steel trade (m ton)
Chinese steel exports were
lower ~2% YoY to 6.3mt in
April 2019.
12
11
10
9
8
7
6
5
4
Exports
Imports - rhs
1.4
1.3
1.2
1.1
1.0
0.9
0.8
0.7
0.6
Steel inventories in main China cities (m tons)
7
6
Steel inventories in China
were at 3.5mt.
5
4
3
2
3 June 2019
6

Metals Weekly
Other regions
CIS HRC export prices (USD/ton) fob basis
CIS export HRC prices
increased ~2% WoW to
USD480/t.
CIS Exports (HRC)
650
600
550
500
450
400
Electrode prices in China for High Power Diameter 400 (USD/ton)
China H.P Diameter 400 (USD/t)
Prices were broadly
unchanged WoW.
20,000
15,000
10,000
5,000
0
3 June 2019
7

Metals Weekly
Other regions
Global steel production from recycled steel - kt (Crude steel prod – BF production*0.96)
Global steel production
from recycled steel
decreased 0.5% YoY in
February 2019.
60,000
50,000
40,000
30,000
20,000
10,000
0
Steel from recycled steel (kt)
growth - %
40%
30%
20%
10%
0%
-10%
-20%
North America: Monthly crude steel production
North America
YoY (%)
15.0
7.5
0.0
-7.5
-15.0
US steel production
increased 0.2% YoY to
9.4mt in February 2019.
11.0
10.5
10.0
9.5
9.0
8.5
8.0
Global: Monthly crude steel production
Global crude steel
production increased 6.4%
YoY to 156.7mt in April
2019.
160
150
140
130
120
Global
YoY (%)
13
10
7
4
1
-2
-5
-8
Global: Monthly crude steel capacity utilization
82
Capacity Utilization
Capacity utilization improved
460bps YoY to 77.5% in July
2018.
78
74
70
66
62
Source: Bloomberg, WSA, MOSL
3 June 2019
8

Metals Weekly
Steel raw materials
Import price of 62% grade iron-ore fines in China (USD/ton)
Iron ore (China cfr) prices
decreased ~1% WoW.
115
85
55
25
CIF
FOB
Pellet China cfr (USD/ton)
170
160
150
140
130
120
110
100
Iron ore pellet cfr China - USD/t
China iron-ore production and imports (m tons)
China iron ore imports
decreased 2.6% YoY to
80.8mt in April 2019.
130
105
80
55
30
Ore Imports
Ore Prod
Pig iron prod (RHS)
76
68
60
52
44
China’s iron-ore inventories (mt)
170
160
150
140
130
120
110
100
China iron ore inventories
were lower WoW at
115mt.
Source: Bloomberg, MOSL
3 June 2019
9

Metals Weekly
Steel raw materials
Freight rates to China (USD/ton)
Brazil
Australia
India
24
16
8
0
Freight rates were
unchanged WoW.
Coal price index
Richards Bay thermal coal
prices were at USD62/t
Ri chards Bay Steam Coal
105
90
75
60
45
Coke price index (fob China)
China coke export spot (LHS)
355
330
305
280
255
230
Coking coal (USD/t)
320
270
Spot coking coal (fob Australia)
Coking coal prices were
~2% lower WoW.
220
170
120
70
3 June 2019
10

Metals Weekly
Non-ferrous
Non-ferrous
Aluminum
LME inventories and spot prices
2,600
2,450
2,300
2,150
2,000
1,850
1,700
Inventories (RHS)
Spot
2.5
2.0
1.5
1.0
0.5
0.0
Aluminum (cash LME) was
unchanged WoW at
USD1,761/t.
Global primary aluminum monthly production and YoY growth
Global aluminum
production was up 5.9%
YoY to 5.13mt in
Aug 2018.
Production
5,400
4,800
4,200
3,600
3,000
YoY
22.0
17.0
12.0
7.0
2.0
-3.0
-8.0
-13.0
India: Company-wise primary aluminum monthly production
Hindalco
Balco
Nalco
VED - JSG
3 June 2019
11

Metals Weekly
Non-ferrous
Aluminum
Aluminum raw material and power cost for marginal producer in USA (USD/t)
All-in-aluminum was
at USD2,188/t.
3,200
2,400
1,600
800
0
CPC
Alumina
Power
LME+Spot
CPC US (USD/t)
600
500
400
300
200
Industrial Power US (Lousiana) per mwh
8.0
7.0
6.0
5.0
4.0
Source: Bloomberg, Industry, MOSL
3 June 2019
12

Metals Weekly
Non-ferrous
Copper
LME inventories and prices
Inventories (RHS)
Spot
7,850
7,250
6,650
6,050
5,450
4,850
4,250
0.4
0.3
0.2
0.1
0.0
Copper (cash LME) prices
were down ~2% WoW to
USD5,780/t.
Global refined copper monthly production and YoY growth
2.2
Production
YoY - RHS
20.0
13.5
7.0
0.5
-6.0
-12.5
Global copper production
declined 2.5% YoY to
1.943mt in Aug 2018.
2.0
1.8
1.6
1.4
China: Refined copper monthly production and YoY growth
0.90
0.80
0.70
0.60
0.50
0.40
0.30
Production
YoY - RHS
34
23
12
1
-10
3 June 2019
13

Metals Weekly
Non-ferrous
Zinc
LME inventories and prices
Inventories (RHS)
3,800
3,500
3,200
2,900
2,600
2,300
2,000
Spot
Zinc (cash LME) was ~1%
lower WoW at USD2,685 /t
0.4
0.3
0.2
0.1
0.0
Global refined zinc monthly production and YoY growth
Production
YoY growth (RHS)
12.0
8.0
4.0
0.0
-4.0
-8.0
Global zinc production
declined 5% YoY to
1.067mt in Aug 2018.
1.3
1.2
1.1
1.1
1.0
0.9
China: Refined zinc monthly production and YoY growth
Production
0.7
0.6
0.6
0.5
0.5
0.4
YoY growth (RHS)
20
10
0
-10
-20
Zinc: Global metal surplus (deficit) – kt
150
100
50
0
-50
-100
-150
3 June 2019
14

Metals Weekly
Non-ferrous
Lead
LME inventories and prices
Lead (cash LME) was down
~2% WoW at USD1,783/t.
2,750
2,550
2,350
2,150
1,950
1,750
1,550
Inventories (RHS)
Spot
0.20
0.15
0.10
0.05
-
Global refined lead monthly production and YoY growth
1.1
1.0
Production
YoY - RHS
14
Refined lead production
increased 2.7% YoY to
951kt in Aug 2018.
0.9
0.8
0.7
0.6
-2
-18
China: Refined lead monthly production and YoY growth
0.5
0.4
0
0.3
0.2
-20
Production
YoY - RHS
20
India: Company-wise refined lead monthly production
HZL
:
16
19 19 18 17
18 16 15 18
17
15 16
14
14 13 12 14 14
13
12 12
12 13
10
22
Source: Bloomberg, MOSL
3 June 2019
15

Metals Weekly
Crude Oil
Brent crude oil price (USD/bbl)
Brent (crude oil) declined
~6% WoW to USD64/bbl.
Brent Crude
85.0
75.0
65.0
55.0
45.0
35.0
Global crude oil quarterly supply & surplus/(deficit) - mbpd
Non-OPEC supply
120
110
100
90
80
70
60
50
40
OPEC Supply
surplus/(deficit) - RHS
3
2
1
0
-1
-2
-3
-4
Crude oil production by Private/JVs in Rajasthan (‘000 tonnes)
800
700
600
500
400
000 tonnes
YoY growth (%) - RHS
10
5
0
-5
-10
-15
Crude oil futures (USD/bbl)
70
65
60
55
Current
1-week ago
3-month ago
:
Source: Bloomberg, MOSL
3 June 2019
16

Metals Weekly
Commodity forward curves
LME aluminum (USD/ton)
2,400
2,300
2,200
2,100
2,000
1,900
1,800
1,700
Current
1-week ago
3-month ago
LME copper (USD/ton)
6,600
6,400
6,200
6,000
5,800
Current
1-week ago
3-month ago
LME zinc futures (USD/ton)
3,000
2,800
2,600
2,400
2,200
2,000
Current
1-week ago
3-month ago
3 June 2019
17

Metals Weekly
China non-ferrous trade data
China’s aluminum trade ('000 tons)
Aluminum exports were up
22% YoY to 550kt in March
2019.
600
500
400
300
200
100
0
Imports
Exports
China’s refined copper trade ('000 tons)
400
300
200
100
0
Imports
Exports
China’s refined zinc trade ('000 tons)
150
125
100
75
50
25
0
Export
Import
China’s alumina imports ('000 tons)
600
Chinese alumina imports
tripled YoY to 30kt in
March 2019.
400
200
0
Source: Bloomberg, MOSL
3 June 2019
18

Metals Weekly
Key indicators
China new loan growth (Yuan b)
3,300
2,700
2,100
1,500
900
300
China: PMI
60
58
56
54
52
50
48
46
44
Mfg PMI
Steel PMI
60
58
56
54
52
50
48
46
44
China: Fixed asset investment growth (%)
Fixed asset investment
growth was at 6.1% YoY
in April 2019.
13
12
11
10
9
8
7
6
5
Currency movement with respect to the rupee
75
71
67
63
59
55
51
USD (LHS)
GBP
EURO
110
101
92
83
74
65
Source: Bloomberg, MOSL
3 June 2019
19

Metals Weekly
Key indicators (Contd...)
China Energy Production: Electricity (b kwh)
Electricity
YoY (%, RHS)
32
17
2
-13
China electricity
generation increased 6.5%
YoY in Apr 2019.
650
580
510
440
370
300
China Monthly Trade YoY (%)
50
30
10
-10
-30
Import
Export
China Price Index YoY (%)
8
5
2
-1
-4
-7
PPI
CPI
China GDP YoY (%)
7.2
China’s GDP growth was
6.4% in 1QCY19.
6.9
6.6
6.3
6.0
Source: Bloomberg, MOSL
3 June 2019
20

Metals Weekly
Industrial production growth
The UK and the USA (%)
6
3
0
-3
-6
UK
USA
Japan (%)
10
5
0
-5
-10
European Union (%)
8
2
-4
-10
France
Germany
Italy
BRIC (%)
Russia
13
6
-1
-8
-15
Brazil
India
China
Source: Bloomberg, MOSL
3 June 2019
21

Metals Weekly
Stock exchange announcements
None
3 June 2019
22

Metals Weekly
Metals
Valuation Matrix
Valuations: Indian Companies
Rating
Steel
Ta ta Steel
JSW Steel
JSPL
SAIL
Non-Ferrous
Hi nda l co
Na l co
Veda nta
Ra i n Ind.*
Mining
Coa l Indi a
Hi ndus ta n Zi nc
NMDC
*CY reporti ng
Neutra l
Buy
Buy
Neutra l
Buy
Buy
Sel l
Buy
Buy
Neutra l
Buy
Price
(INR)
489
277
164
51
200
50
164
119
253
250
103
MCAP
(USD M)
6,829
9,610
2,152
3,004
5,934
1,865
6,987
575
22,959
15,185
5,852
FY18
69.5
24.0
-8.5
0.3
18.9
5.1
20.4
23.7
19.2
21.1
13.1
EPS
FY19E
88.6
31.8
11.5
6.3
24.7
9.2
18.1
20.4
28.3
18.8
15.6
FY20E
78.6
21.9
-12.5
6.1
22.9
5.3
16.6
11.7
29.2
21.6
12.3
P/E (x)
FY19E FY20E
5.5
8.7
14.2
8.0
8.1
5.5
9.0
5.8
8.9
13.3
6.6
6.2
12.6
-13.1
8.4
8.7
9.5
9.8
10.2
8.7
11.6
8.4
EV/EBITDA (x)
FY19E FY20E
5.2
6.5
6.7
6.7
5.4
2.0
5.7
5.3
3.8
8.3
3.8
5.7
7.6
6.9
6.2
5.8
4.0
4.6
7.1
3.9
6.9
5.1
P/B(x)
FY19E FY20E
0.9
1.9
0.5
0.5
1.1
0.9
1.0
0.9
0.8
1.7
0.5
0.5
1.0
0.9
1.0
0.9
5.9
5.1
3.1
2.7
1.2
1.2
Source: MOSL
Valuations: Global Companies
Company
Mining
BHP-Bi l l i ton
FMG
Ri o Ti nto
Va l e
Teck Res ources
Angl o Ameri ca n
STEEL
Arcel or Mi tta l
Pos co
US Steel
Nucor
JFE
Gerda u
Anga ng
Ali - Smelting
Al coa
Hydro
Rus a l
Ali - Rolled
Arconi cs
Cons tel l i um
BBG
CODE
BHP AU
FMG AU
RIO AU
Va l e US
TCK US
AAL LN
MT NA
005490 KS
X US
NUE US
5411 JT
GGBR4 BZ
000898 CH
AA US
NHY NO
486 HK
ARNC US
CSTM US
Currency
AUD
AUD
AUD
USD
USD
GBp
EUR
k KRW
USD
USD
JPY
BRL
CNY
USD
NOK
HKD
USD
USD
PRICE
38
8
100
49
20
1,895
13
238
12
48
1,508
14
5
21
31
3
22
8
MCAP
(US$ M)
122,317
16,596
96,732
65,997
11,495
30,818
14,859
17,798
2,038
14,630
8,324
5,739
5,183
3,931
7,140
5,390
9,825
1,111
PE (x)
CUR YR
NXT YR
13.4
6.7
10.7
6.8
6.9
8.1
4.9
7.5
6.5
8.5
6.4
9.7
8.0
26.0
16.5
3.2
12.1
8.4
11.9
5.9
11.9
7.1
7.9
8.9
4.3
7.0
7.2
9.2
6.0
8.8
8.1
8.7
9.0
2.7
10.6
6.0
EV/EBITDA(x)
CUR YR
NXT YR
5.8
4.0
4.9
4.5
3.7
3.9
3.6
4.3
3.7
5.5
6.2
5.4
4.8
3.2
5.8
8.0
7.0
5.8
5.4
3.6
5.3
4.7
4.1
4.2
3.4
4.1
3.6
5.9
5.9
5.1
4.8
3.0
4.1
6.4
6.5
5.2
P/BV (x)
CY18
na
na
na
1.4
0.7
na
0.3
0.5
0.5
1.4
na
1.1
0.8
0.8
0.7
0.9
na
15.9
3 June 2019
23

Metals Weekly
Metals Stock
Performance
Among large-cap companies,
NMDC was the best relative
performer.
Metals stock performance on absolute and relative basis (%)
Months
Steel
Ta ta Steel
SAIL
JSW Steel
JSPL
NMDC
Non-ferrous
Veda nta
Hi ndus ta n Zi nc
Na l co
Hi nda l co
Mid Caps
Monnet Is pa t
Goda wa ri
Sa rda Energy
Ta ta Sponge
Adhuni k Meta l i ks
Bhus ha n Steel
Ja i Ba l a ji
Ra i n Indus tri es
Pra ka s h Indus tri es
SENSEX
1
-12.3
-10.4
-11.8
-10.0
1.3
-3.7
-11.2
-2.3
-4.5
-11.6
15.0
-4.1
-3.6
-10.1
-11.8
2.9
-1.0
2.7
1.7
Absolute Perf (%)
3
6
-2.7
3.6
-3.4
2.0
0.7
-5.2
-8.8
-0.2
0.5
-31.2
-0.7
3.2
0.5
27.5
10.6
99.4
25.1
-6.7
10.7
-6.9
-9.8
-11.9
5.3
7.9
-16.7
-5.8
-21.9
-9.1
-39.3
-13.3
0.6
-7.7
-24.2
12.9
88.2
-15.4
-4.3
11.2
12
-15.2
-34.2
-18.3
-30.4
-14.0
-35.6
-17.1
-28.3
-16.4
-60.4
-43.7
-36.5
-35.2
-48.1
-29.0
223.9
-51.4
-53.4
12.4
Relative Perf to Sensex (%)
1
3
6
12
-14.1
-12.1
-13.6
-11.8
-0.5
-5.5
-13.0
-4.1
-6.2
-13.4
13.2
-5.8
-5.4
-11.9
-13.6
1.2
-2.7
1.0
-
-13.4
-7.1
-14.1
-8.7
-10.0
-15.9
-19.5
-10.9
-10.2
-41.9
-11.4
-7.5
-10.2
16.8
-0.1
88.7
14.4
-17.4
-
-18.1
-21.0
-23.1
-5.9
-3.3
-27.9
-17.0
-33.1
-20.3
-50.5
-24.5
-10.6
-18.9
-35.4
1.7
77.0
-26.6
-15.5
-
-27.6
-46.7
-30.7
-42.8
-26.4
-48.0
-29.5
-40.7
-28.8
-72.8
-56.1
-48.9
-47.6
-60.5
-41.4
211.4
-63.8
-65.8
-
Among mid-cap companies,
Godawari was the best relative
performer over one month.
Global Metals stock performance on absolute basis (%)
1week
1month
1.6
1.0
-2.4
12.6
-4.4
-24.2
-15.9
-31.4
-12.1
-6.9
-20.8
-8.8
-9.8
-18.4
-2.8
-20.6
-14.3
-8.1
Absolute Perf (%)
3 months
6 months
4.6
1.4
-0.1
32.8
-5.4
-47.3
-20.8
-34.4
-16.0
-9.7
-22.3
-9.8
-14.2
-14.1
-14.1
-28.2
-22.2
-12.4
27.2
23.4
-7.8
104.3
21.5
-49.5
-19.5
-32.6
-8.0
-1.2
-26.0
-12.8
-33.3
-20.0
-11.7
-36.9
29.7
2.2
7 months
7.0
15.2
-8.3
71.6
5.4
-67.9
-25.2
-52.1
-25.2
-30.0
-33.0
-20.9
-49.6
-49.2
-11.5
-55.9
32.1
-31.7
12 months
7.0
15.2
-8.3
71.6
5.4
-67.9
-25.2
-52.1
-25.2
-30.0
-33.0
-20.9
-49.6
-49.2
-11.5
-55.9
32.1
-31.7
Among global mining companies,
Vale was the best relative
performer over one week.
Among global steel majors,
Posco was the best
relative performer.
Among the global aluminum, Rusal
was the best
relative performer
Mining
Ri o Ti nto
BHP Bi l l i ton
Va l e
FMG
Angl o Ameri ca n
Steel
US Steel
Nucor
Arcel or Mi tta l
Anga ng
Pos co
JFE Hol di ngs
Ni ppon
Thys s en Krupp
Voes t Al pi ne
Gerda u
Aluminium
Al coa
Rus a l
Cha l co
-2.3
0.8
3.7
-2.1
-2.5
-13.3
-6.2
-6.2
-5.4
3.7
-3.3
-2.6
-5.2
-5.2
2.4
-7.9
5.5
4.1
3 June 2019
24

Metals Weekly
NOTES
3 June 2019
25

Explanation of Investment Rating
Investment Rating
BUY
SELL
NEUTRAL
UNDER REVIEW
NOT RATED
Expected return (over 12-month)
>=15%
< - 10%
> - 10 % to 15%
Rating may undergo a change
We have forward looking estimates for the stock but we refrain from assigning recommendation
Metals Weekly
*In case the recommendation given by the Research Analyst becomes inconsistent with the investment rating legend, the Research Analyst shall within 28 days of the inconsistency, take appropriate measures to make the recommendation consistent with the investment rating legend.
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