20190521: the rise of ore slows down and coke becomes a new black faucet

In terms of volume and price, RB1910 rose 139 yuan / ton to close at 3919 yuan / ton compared with the previous trading day, while HC1910 closed up 119 yuan / ton to close at 3765 yuan / ton. I1909 rose 5.50 yuan / ton to close at 717 yuan / ton, while J1909 rose 98.5 yuan / ton to close at 2271 yuan / ton. In terms of position data, the number of RB1910 transactions increased by 274700 to 2.63 million, while that of I1909 decreased by 19600 to 1.62 million. In terms of capital flows, the net inflow of funds from RB1910 today was 1.123 billion yuan. I1909 net outflow of funds was $40.66 million. Point of view: strong operation. Today, the whole line of domestic black goods broke out, coke rose 4.53%, thread rose 3.81%, both reached the highest level in nearly half a year and the biggest one-day increase. U. S. officials on Monday decided to delay the ban on Huawei by 90 days, easing fears of a trade war and ending the rally after the rare earth magnetic sector broke out in the afternoon. There has been a full recovery in sentiment in the financial markets. Iron ore affected by the news that the Brucutu mining area will resume production on Thursday, the night high fell back, coke 1909 contract rod became the new black leader. The third round of coke rise and fall, some areas have been implemented, at present, the overall inventory of downstream steel mills is not high, coke procurement demand is better, for the increase acceptance is better, technically, J1909 increased positions up, MACD red kinetic energy continued to expand. Short-term prices are still expected to run on the strong side. RB1910 strong than expected, today closed the head positive line, kinetic energy is strong, and has broken through the upper strong pressure level 3850 line, the upper space further open, can still continue to look at the high line. Night trading I1909 fell sharply affected by the resumption of production news, and then there was another news that Vale's tailing dam in the town of Barao de Cocais had a 15 per cent chance of collapsing, and that ore prices had fluctuated upward and had recovered their daily decline by the end of the day. The overall performance is still relatively strong. Taken together, market sentiment has improved at present, although steel supply has remained high, consumption performance has exceeded market expectations, the contradiction between steel supply and demand has not seen signs of deterioration, and the strong strength of coke and ore has effectively supported prices. In addition, the current base difference is still large, it is expected that the short-term basis repair market is still expected to continue. Strategy: RB1910 contract range (3800, 4000); I1909 contract range (680750), multiple stop losses moved up to continue to hold. Disclaimer: this information comes from a statistical arbitrage model based on historical data, and all conclusions are based on reliable and publicly available information. The SMM quantification team is not responsible for any losses that may be caused by all information. We recommend that investors independently evaluate specific investments and strategies. Investors are also encouraged to seek advice from professional financial advisers. This information does not provide a tailored investment strategy.