When price fell below cash cost, there is limited space for further price drop

Debt crisis continues to spread in Europe and US. Although EU has been trying to stabilize the impending financial crisis through capital injection into European banks(EFSF), France and Italy have already felt the threats from unresolved debt issue in Greece, and global market has been caught in a predicament of a second recession. According to the announcement by Eurostat on October 5th, the retail sales of Euro region in August has suffered a MoM regression of 0.3% and YoY regression of 1.0%, which is weaker than market expectation. The job market in US has not been any better, while inflation issues in many countries have worsened. In the market of China, which was the previous market focus, real estate market has been cooled down. Banks have tightened their capital control leading to financing difficulties for SMEs. The growing incidence of fraudulent insolvency and walk-off with money has been an indication of significant potential risk in the market of China.