SHANGHAI, Nov. 16 (SMM) – On Wednesday, SHFE 1701 lead started higher at RMB 18,545/mt and then dropped slightly to RMB 18,360/mt before stabilizing. During the afternoon trading, SHFE 1701 lead declined to a daily low at RMB 18,125/mt and fluctuated at around RMB 18,357/mt. The contract finally closed at RMB 18,320/mt, up RMB 335/mt or 1.86%. Trading volumes rose 11,700 to 80,594 lots and positions increased 4,298 to 32,052. Ferrous metals plumped again on Wednesday and commodities also dropped across the board. However, SHFE 1701 lead remained firm and refreshed a new high again on Wednesday, thanks to positive technical indicators and fundamentals. In China’s domestic market, spot premiums narrowed slightly but were still at highs, supporting SHFE 1701 lead.
SHFE 1701 lead is predicted to keep rising momentum for the nearing future but market should be wary on a possible large volatility, resulted by capitals.