SHANGHAI, Jan 19 (SMM) – SHFE nonferrous metals increased broadly on Tuesday January 19. Copper added 0.27%, zinc and nickel both firmed 0.2% and tin gained 1.15%, while aluminium shed 1.24% and lead dropped 1.43%.
SMM data showed that a total of 118 vessels carrying 19.46 million mt of iron ore arrived at major Chinese ports during January 10-16, SMM estimates. This was up 3.17 million mt mt from the prior week and 6.85 million mt from the same period last year as mines stepped up year-end shipments.
Copper: The most-active SHFE 2103 copper contract advanced 0.27% to close the day at 58,890 yuan/mt, with open interest decreasing 1,155 lots to 124,000 lots. Open interest of the February contract lost 5,279 lots to 58,559 lots.
Janet L. Yellen, President-elect Joseph R. Biden Jr.’s nominee for Treasury Secretary, will tell lawmakers at her confirmation hearing on Tuesday that the United States needs a robust set of fiscal stimulus measures to get the pandemic-stricken economy back on track and that now is not the time to worry about the nation’s mounting debt burden. Optimistic sentiment is still pervading in the market. However, the US dollar index, which tracks the greenback against a basket of leading currencies, rose to around 90.9, pressuring copper prices.
German consumer price index (CPI) for December set for release tonight will be watched, and whether the March copper contract could return above 59,000 yuan/mt tonight will also be monitored.
Aluminium: The most-traded SHFE 2103 aluminium contract ended the day 1.24% lower at 14,745 yuan/mt. Weekly inventories of aluminium ingots are likely to continue to build up as consumption weakens before the Chinese New Year holiday.
Zinc: The most-liquid SHFE 2103 zinc contract added 0.2% to finish the day at 20,305 yuan/mt, with open interest rising 1,758 lots to 91,001 lots.
Lead: The most-traded SHFE 2103 lead contract finished the day 1.43% lower at 14,785 yuan/mt, with open interest increasing 1,441 lots to 35,894 lots. Trades muted as some downstream users completed pre-holiday stockpiling, which pressured SHFE lead prices.
Tin: The most-traded SHFE 2103 tin contract gained 1.15% to end the day at 157,920 yuan/mt after hitting a one-week high at 158,440 yuan/mt earlier in the session, with open interest rising 1,583 lots to 33,343 lots. Concerns on tin supply boosted tin prices. The contract is expected to trade between 155,000-160,000 yuan/mt tonight.
