[SMM midday review] Shanghai nickel, Shanghai and tin rose more than 2 per cent, non-ferrous metals generally reduced production by 3.13 per cent, which was not expected to fall by 3.13 per cent in the previous period.

SMM4 month 10: today's general rise in non-ferrous metals, Shanghai nickel Shanghai tin rose more than 2%, zinc demand is weaker Shanghai zinc slightly lower. A few days ago, the Ministry of Industry and Information Technology said that with the joint efforts of all parties, the rework rate of small and medium-sized enterprises has gradually increased. On the downstream demand side, the enamelled wire operating rate was 77.40% in March, up 52.59% from February and 6.76% higher than expected, according to SMM. The home appliance industry, which is mainly the largest consumer of enamelled wire, has long returned to production, and most of the enamelled wire enterprises that supply household appliances reflect the acceleration of the pick-up rate of household electrical appliances in March, thus promoting the rapid recovery of their operating rate. "[SMM Survey] the consumption of enamelled wire in March exceeded expectations, but in addition to the order volume in April, we should look carefully at the order volume in April. Sources say a videoconference at China's main copper smelter failed to agree on processing fees (TC/RCs) for the second quarter of 2020, complicating decisions as uncertainty over the new crown outbreak complicates decisions. In the first quarter, TC/RCs was priced at $67 a tonne, or 6.7 cents a pound. In the aspect of lead, according to the SMM survey, the operating rate of domestic licensed recycled lead smelting enterprises was 28.31% in March, up 19.1% from the previous month. "View details

The black system is on the strong side of the shock, but the overall increase is not large. According to SMM research data, total hot rolling stocks this week were 5.2554 million tons, down 3.59% from the previous month, but still up 70% from the same period. The main reason is that terminal demand has rebounded this week compared with last week, and in recent days, many places in China have introduced subsidies on car consumption, greatly stimulating terminal consumption. However, it should be noted that due to the epidemic led to the price of imported resources from abroad is on the low side, the domestic steel price has been suppressed, especially the hot coil plate has a greater impact. Ore supply is loose, the acceleration of demand remains to be seen, and has been boosted by a macro recovery in the periphery in the short term. In addition, according to the 35 hot rolled coil mainstream steel mills investigated by SMM, the planned volume of hot rolled commercial materials in April totaled 9.0264 million tons, compared with the actual output of 9.0403 million tons to 0.2% in March. "[SMM hot rolling scheduling report] increased risks on the supply side in April when exports were blocked and imports increased

Crude oil fell 3.13% in the previous period. Last night, the big event in the oil market was finally finalized, and the OPEC+ finally reached a consensus on the issue of reducing production. OPEC+ said OPEC+ would cut production by 10 million barrels a day from May 1, 2020, the first round of production cuts for two months. OPEC+ also confirmed a reduction of 8 million barrels per day to December from July 2020 and 6 million barrels per day from January 2021 to April 2022. However, the futures market fell short of the previous market expectations of 20 million barrels a day. In addition, there are some production reduction agreements that need to be matched by non-OPEC+ members.

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Today's stock

Zinc: the mainstream transaction in Ningbo was 15590-15710 yuan / ton, and the price difference between Ningbo and Shanghai ordinary brands narrowed from 40 yuan / ton to 20 yuan / ton. Today, the market reported fewer goods as a whole. In the first period of the morning, some holders continued yesterday's quotation. Tiefeng, Xikuang and other brands quoted around 120 yuan / ton in May, while other brands such as Hualian quoted lower prices. The basic quotation is around 100-110 yuan / ton for the May contract, Kirin quotes about 130-140 yuan / ton for the May contract, and the transaction is concentrated on the brand with lower water rise. Overall, zinc prices fell slightly today, superimposed rising water slightly lower, today's market inquiry atmosphere is better, the overall transaction situation is basically flat compared with yesterday.

Guangdong zinc mainstream transaction in 15450-15630 yuan / ton, the quotation focused on Shanghai zinc 2005 contract discount 10-20 yuan / ton, Guangdong stock market than Shanghai stock market discount 90 yuan / ton is flat compared with the previous trading day. In the first trading session, the center of gravity of futures prices moved down from yesterday, and the sentiment of holders was relatively strong. Some traders pressed prices to receive goods, and the market as a whole was still dominated by discount transactions. Kirin, Mengzi, Huize and Tiefeng quoted prices for Shanghai Zinc May contract discount of 1020 yuan / ton. The second trading period, futures month spread of 30 yuan, the holder of the next month contract quotation is relatively strong, the willingness to let the price is not enough, the downstream bargain slightly procurement, the market trading is still general. Kirin, Mengzi, Huize and Tiefeng offer 10-20 yuan per ton for the May contract. Qilin, Mengzi, Huize, Tiefeng mainstream transaction in 15450-15630 yuan / ton.

Tin: spot market, quoted today 128500-130500 yuan / ton, Shanghai tin plate rose sharply in the morning, spot rising water range did not significantly change Shanghai tin spot price is high, some traders and downstream enterprises within the day to purchase, Shanghai tin spot market overall transaction atmosphere is general. Shanghai tin 2006 contract set Yunxi rising water near 5500 yuan / ton, ordinary cloud word rising water 45005000 yuan / ton, small brand rising water 40004500 yuan / ton.

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