Metal prices in Shanghai aluminum, coking coal and coke have reached new contract highs [SMM Daily Review]

SMM10 March 15: us President Joe Biden signed into law a bill that would increase the government's borrowing capacity by $480 billion. The risk of default by the US government has been temporarily lifted. In September, the national consumer price index ((CPI)) rose 0.7% from a year earlier. In September, the national producer price index ((PPI)) rose 10.7% from a year earlier, the highest level since the PPI data began in 2006. PPI continued to rise faster than expected in September. Apart from the fact that coal prices continued to rise sharply, it was also related to the electricity and production restrictions brought about by the "double control of energy consumption" in many provinces, the lack of enthusiasm for power generation in coal power plants, and the general rise in the prices of non-ferrous metals, cement, chemical raw materials, and ferrous metals. Governments at all levels are actively mobilizing to increase coal supply to ensure that all kinds of power sources can be used up. The newly launched coal-fired power price reform is also committed to improving the enthusiasm of coal-fired power plants, increasing the power consumption costs of high-energy-consuming enterprises, and promoting the balance between power supply and demand. The dollar fluctuated downwards today, rising slightly in intraday trading, and then falling again. Today, the metal market rose generally, Shanghai zinc fluctuated in a narrow range throughout the day, pulled up slightly in late trading, and Shanghai Aluminum rose in late trading, hitting a contract record high of 24420 yuan / ton in intraday trading, closing up 3.82%. Shanghai copper moved slightly throughout the day after morning trading, hitting a four-month high and closing up 2.8 per cent. In terms of black, after yesterday's decline, Shuangjiao regained its strength today, rising sharply, with coke up 8.08% and coking coal up 5.98%, setting new contract highs one after another. The outer plate metal rose across the board, but the overall increase was weak, only Lun aluminum and Lun nickel rose by more than 1%, and the rest of the varieties were slightly red.

In terms of the stock market, the coal industry plate also rose sharply today, with the stock index rising 3.22%. Shares of Haohua Energy and Pingshan Coal rose by the daily limit. Yanzhou Coal, Orchid Kechuang and Shanxi Coking Coal rose more than 7% one after another, and the rest of the stocks also rose.

"the three major A-share indexes all closed higher on semiconductor chips, lithium electricity and coal [stock market closed]

In terms of copper, the main 11 contracts of Shanghai Copper climbed to 74330 yuan / ton this morning, after the center of gravity fell slightly to 73800 yuan / ton, with a narrow range of shock finishing, which was strongly supported by the daily moving average. Opening in the afternoon, the disk returned to a narrow range of shocks near the daily moving average of 73600 yuan / ton, and finally closed at 73820 yuan / ton, up 2010 yuan / ton.

The popularity of funds does not reduce the amount of copper in Shanghai and break through the 74000 yuan / ton mark in one fell swoop [brief review of copper futures in SMM]

Tin, before there is a clear change in the level of supply and demand, long-short funds may be difficult to enter the market substantially, so the current price trend to maintain a high probability of shock, the near-term focus on the pressure performance near the previous high of 289000 yuan / ton. From the fundamental point of view, the spot market supply is still tight, market inventory is low, the current weak supply and demand situation continues to maintain. As winter approaches, the trend of the follow-up power restriction policy may be the key factor affecting supply and demand.

The trend continues to be high, horizontal funds have a strong wait-and-see mood [SMM tin brief review]

Today, the spot price of stainless steel rose slightly to 21100-21900 yuan / ton for cold rolling and stable at 20200-20400 yuan / ton for hot rolling. Today, the guidance price of Delong Steel Plant was flat yesterday, and the base price of cold rolling was 21000 yuan / ton. Last night, stainless steel SS contract slightly strengthened to 20500 yuan / ton first line, this morning there is a small increase in low-price orders, but the overall transaction is general, rigid demand to take goods.

Stainless steel SS contract slightly stronger spot price low upward transaction is still weak [SMM stainless steel spot information]

Today, the domestic coke market is running steadily. Affected by environmental protection and energy consumption and other factors, some coke enterprises in Shanxi, Shandong, Hebei and other regions still maintain a certain proportion of limited production, coupled with the strict control of coke production in Shandong in the second half of the year, coke supply has been reduced, but most coke enterprises still have normal production, shipments are active, and the inventory pressure in the factory is on the low side. With the tightening of power restrictions, some Jiangsu steel mills have implemented production reduction, while other Jiangsu steel mills have plans to reduce production. In the short term, steel mills have reduced demand for coke. Coupled with the fact that the coke inventory of steel mills has been maintained in the middle, some steel mills intend to control coke delivery and purchase coke on demand. Generally speaking, due to the influence of environmental protection, coking coal prices and other factors, some coke enterprises still have production limit expectations, short-term coke supply increment is limited, steel plant production limit expectations are also strong, coke demand is general, supply and demand is weak, coke is expected to continue to be stable.

Reduction of Coke demand in Jiangsu Steel Plant [SMM Coke spot Daily Review]

"check the metal futures market.