Crude Oil Rose Over 3%, Metals Show Mixed Performance, LME Tin Fell Over 2%, SHFE Silver Fell Over 3%, SHFE Gold Fell Over 1% [Overnight Market]

SMM, April 22:

Metals market:

As of the overnight close, metals in both domestic and overseas markets generally fell, with only LME zinc, SHFE zinc, and SHFE nickel rising. LME zinc rose 0.67%, SHFE zinc rose 0.08%, and SHFE nickel rose 0.19%. LME tin led the decline with a 2.01% drop, SHFE tin fell 1.85%, and the remaining metals fell less than 1%. The alumina main contract fell 0.35%, and the foundry aluminum main contract fell 0.36%.

Overnight ferrous metals showed mixed performance, with stainless steel falling 0.9% and iron ore rising 0.19%. Coking coal and coke side, coking coal fell 0.16% and coke rose 0.37%.

Overnight precious metals side, COMEX gold fell 1.87% and COMEX silver fell 4.21%. In China, SHFE gold fell 1.66% and SHFE silver fell 3.73%.

Overnight closing prices as of 6:44 AM, April 22:

Macro Front

China:

[State Council: Support Procurement of Large Language Models and AI Agent Services, Moderately Advance Construction of Mobile IoT]The State Council issued the "Opinions on Promoting the Expansion and Quality Improvement of the Service Industry." It mentioned deepening the implementation of the "AI+" initiative, accelerating the R&D and adoption of intelligent programming tools, and supporting the procurement of large language models and AI agent services. It called for accelerating innovation breakthroughs in industrial software, building compatibility adaptation and application demonstration centers for key industry industrial software, strengthening the ecosystem of basic software and open-source communities, and optimizing the smart audio-visual system ecosystem. It also urged deeper promotion of large-scale 5G applications, advancing 5G-A network development, strengthening 6G technology R&D, moderately advancing the construction of mobile IoT, and developing satellite internet application services. (Jin10 Data)

[MIIT Responds to Memory Chip Price Increases, Will Take Multiple Measures to Ensure Industry Chain Supply Chain Stability]The State Council Information Office held a press conference on Q1 2026 industrial and information technology development. Xie Cun, spokesperson of MIIT and Director-General of the Department of Information and Communications Development, stated that recent memory chip price increases had triggered price adjustments in mobile phone end-use products, drawing widespread attention. To address this issue, MIIT will take multiple measures to support the development of the memory chip industry and ensure industry chain supply chain stability. On one hand, it will enhance supply capacity, promote supply-demand alignment, encourage both domestic and foreign enterprises to increase investment and boost output capacity, and support end-users and memory chip enterprises in strengthening interaction and expanding diversified supply channels. On the other hand, it will maintain market order through various means, guide memory chip enterprises to strengthen channel management, and cooperate with relevant departments to crack down on market-disrupting activities in accordance with the law. (Securities Times) (Jin10 Data APP)

[MIIT: 10G Optical Network Pilot Project Construction Progressing in an Orderly Manner with Good Completion of Pilot Targets]MIIT issued a notice on the completion of 10G optical network pilot projects. Overall, pilot project construction progressed in an orderly manner, with good completion of pilot targets. The 10G optical network achieved pilot deployment in scenarios such as residential communities, factories, and industrial parks, cultivating business applications including cloud computers, cloud gaming, industrial optical quality inspection, AI + ultra-high-definition video surveillance, model training and inference applications, and integrated sensing and communication, providing important references for promoting the transition of 10G optical networks from technical pilots to deployment and application. (MIIT) (Jin10 Data APP)

US dollar:

As of the overnight close, the US dollar index rose 0.33% to 98.38. Fed Chairman nominee Warsh believed that the US Fed should reduce its reliance on forward guidance and warned that excessive transparency could hinder policy flexibility when circumstances change. He said: "The Fed reveals to the whole world... what their forecasts will be," but "the Fed sticks to its forecasts for too long," a phenomenon related to the Fed's delayed response to surging inflation during the pandemic from 2021 to 2022. In his view, making fewer commitments would help achieve more flexible decision-making, because "if the Fed waits until a meeting to make a decision, then this gradual assessment process can prevent the central bank from making repeated mistakes." He viewed this as part of a broader reform agenda, adding: "I believe these changes are very necessary, and if confirmed, I look forward to implementing them." (Jin10 Data APP)

A CICC research report stated that Fed Chairman nominee Kevin Warsh attended a Senate Banking Committee hearing, revealing his core policy stance of pursuing "balance sheet reduction and interest rate cuts" in parallel: at the balance sheet level, he explicitly opposed normalizing quantitative easing (QE), advocating for a gradual and orderly reduction of the Fed's balance sheet size, withdrawing from quasi-fiscal functions, and returning it to its core monetary policy role; at the interest rate level, although no explicit commitment was made, his statements already indicated an inclination toward interest rate cuts. In our view, Warsh's policy stance is not only an adjustment to the monetary transmission mechanism but also an extension of the "America First" strategy into the monetary domain amid the wave of de-globalization — shifting from a "global central bank" that endlessly supplies liquidity to the world, toward a new approach that firmly controls the monetary spigot, focuses on domestic productivity, and emphasizes monetary sovereignty. We believe this shift means the narrative of persistently excessive US dollar liquidity will face correction, and assets that purely rely on liquidity-driven gains and benefit from "US dollar over-issuance" may come under pressure. (Jinshi Data APP)

According to CME "FedWatch": the probability of a 25-basis-point rate hike by the US Fed in April was 0%, and the probability of keeping rates unchanged was 100%. The probability of a cumulative 25-basis-point interest rate cut by the US Fed through June was 1.7%, and the probability of keeping rates unchanged was 98.3%. (Jinshi Data APP)

On the macro front:

The preliminary eurozone consumer confidence index for April, the UK March CPI monthly rate, and the UK March retail price index monthly rate were scheduled for release today. In addition, US Fed Governor Waller delivered a speech at the Brookings Institution. According to media reports, the US and Iran plan to hold talks in Pakistan on Wednesday.

Crude oil:

As of the overnight close, oil prices in both markets rose together, with WTI up 3.2% and Brent up 3.75%, as prospects for a second round of US-Iran talks appeared dim. Between 3:35 and 4:10 Beijing time, WTI and Brent traced an N-shaped pattern with a swing of over $4 in roughly half an hour — prices surged on reports that US and Iranian representatives had canceled plans to head to Pakistan, then briefly erased gains when Trump announced an extension of the ceasefire agreement. (Jinshi Data APP)

A research report from CITIC Securities Construction Investment noted that the repeated fluctuations in the Strait of Hormuz situation indicate that the impact of this round of events on the oil shipping market continues to unfold along a three-stage logic. After a brief reopening on April 17, Iran reimposed the blockade on April 18, suggesting the situation has not yet stabilized. Regardless of how the US-Iran standoff develops going forward, the market is currently still in the process of the Hormuz blockade shock gradually transmitting to oil shipping fundamentals. Oil shipping freight rates evolve in three stages: rates rise during the conflict period; vessel redeployment lengthens shipping distances and pushes up the freight rate center; and after the blockade is lifted, a scramble for oil may drive rates higher for over two months. Currently, the third stage — the inevitable global scramble for crude oil following the reopening of the Strait of Hormuz — is bound to transmit to the oil tanker shipping market. (Jinshi Data APP)

US API crude oil inventory for the week ending April 17 came in at -4.47 million barrels, versus expectations of -1.8 million barrels and a prior reading of 6.101 million barrels. (Jinshi Data APP)

The NYMEX WTI crude oil May futures contract, affected by contract rollover, completed its final pit trading at 2:30 on April 22 and its final electronic trading at 5:00 a.m. Please pay attention to the exchange's expiration and contract rollover announcements to manage risk. In addition, the expiration time for WTI crude oil contracts on some trading platforms is typically one day earlier than the official NYMEX schedule, so please take note.