SHANGHAI, Oct. 28 (SMM) – SHFE 1512 lead started at RMB 13,235/mt on Monday night and broke out above the 5-day moving average thanks to bolstering sentiment from the convening of the 5th Plenary Session of the 18th Central Committee of the CPC, to end at RMB 13,280/mt, up RMB 50/mt or 0.38%. Trading volumes fell 4,130 to 1,140 lots but positions increased 132 to 14,100.
SHFE lead moved lower to RMB 13,195/mt on Tuesday but later advanced to RMB 13,350/mt with longs entering market, to close at RMB 13,330/mt, up RMB 100/mt or 0.76%. Trading volumes were up 1,840 to 7,110 lots but positions declined 180 to 13,788. Profits at large industries fell 0.1% YoY in September, above August’s. This helped bolster market sentiment.
On Tuesday, Jinsha brand was largely offered at RMB 13,390-13,400/mt in Shanghai, RMB 140/mt higher than SHFE 1512 lead but few transactions were done at RMB 13,400/mt. Traded prices were RMB 13,350/mt for Nanfang and Chenyuan brands, versus RMB 13,330-13,340/mt for Humon brand.
Shandong Humon Smelting shipped goods to market and spot supply basically stayed unchanged. Leading motive battery makers cut operation and parts of small assemblers also cut operating rate to 20%. Downstream purchase was soft and trading activities were sluggish.