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[SMM Daily Review] Shanghai, Ni, Shanghai, China
Jun 3,2019 16:37CST
translation
Source:SMM
Today, the non-ferrous metals market is green. By the end of the day, Shanghai nickel closed down 1.54%, Shanghai zinc closed down 1.18%, Shanghai lead closed down 0.62%, Shanghai copper closed down 0.5%, Shanghai aluminum closed down 0.18%, Shanghai tin closed down 0. 04%. Black also closed down, coke closed down 3.87%, iron ore closed down 3.47%, coking coal closed down 2.07%, thread closed down 1.64%, hot volume closed down 1.54%, crude oil futures closed down 7.01% during the day, continuing to fall by the limit in early trading.
The content below was translated by Tencent automatically for reference.

SMM6, March 3: the non-ferrous metals market is green today. By the end of the day, Shanghai nickel closed down 1.54%, Shanghai zinc closed down 1.18%, Shanghai lead closed down 0.62%, Shanghai copper closed down 0.5%, Shanghai aluminum closed down 0.18%. Shanghai and tin closed down 0. 04%; According to the news, according to the Latercera website, Chilean national mining company (Codelco) issued a notice saying that an employee was killed after being hit by a rock in an accident at his El Teniente copper mine. At present, the mine has been partially shut down. Codelco expressed strong regret over the accident and said it would continue to improve mine safety measures to ensure the health and safety of all staff. Codelco is committed to implementing a series of capacity expansion plans this year to keep existing production from falling. This includes the $550 million El Teniente copper mine, which will rise to more than 500000 tons per year by 2025. The mine produced 465000 tons of copper in 2018. "View detail

Black also closed down, coke closed down 3.87%, iron ore closed down 3.47%, coking coal closed down 2.07%, thread closed down 1.64%, hot coil closed down 1.54%, raw fuel led the decline. The form of global trade is tense, market concerns about the global recession have intensified, and since late May, the hot pattern of terminal demand for building materials has ceased, and the center of gravity of finished materials prices has begun to shift downward. The rebar 10 contract fell below the 3700 line, closing down 1.64%, while the hot coil perfectly filled the previous gap, creating a two-month low. Although steel production is still high, but the overall steel inventory rate slowed down, steel plants replenishment enthusiasm is not high, the decline in raw fuel is more fierce. Iron ore approaching 700 yuan, capital outflow of more than 800 million, coke futures strong back to the annual line, down more than 3%, coking coal is down more than 2%, manganese silicon, silicon iron both fell.

Crude oil futures closed down 7.01% during the day, continuing to fall by the limit in early trading, with international oil prices tumbling $10 in seven trading days, the same as from November 12 to November 23 last year. But the sell-off in the oil market was fuelled by demand as global trade tensions intensified, adding to downward pressure on the economy. On Friday, US President Donald Trump threatened to impose a 5 per cent punitive import tariff on Mexican goods, which could eventually rise to 25 per cent. As the United States is a major importer of Mexican crude oil and a major exporter of fuel oil, Guan said the increase will increase the purchase cost of US refineries and deal a heavy blow to the cross-border energy trade between the United States and Mexico. In addition, Trump announced on Friday that he would stop GSP treatment in India. The escalation of the Sino-US trade war has heightened fears of a recession. SC crude oil closed at 429.6 yuan today.

 

In terms of capital flows today

 

More than $1.6 billion of money was withdrawn from the market today, with nearly 800m out of black goods, including 800m from iron ore alone, some of which were impatient to hold after five consecutive falls. Chemical futures fell ferociously, crude oil and methanol fell by the limit, but capital flows left the crude oil outflow of nearly 300 million funds, methanol has 240 million of the bottom funds involved, as the futures price fell to the bottom of the concussion range as long as half a year.

SMM analyst's brief comment on June 3

 

Lead: within a day, the main 1907 contract of Shanghai lead opened at 16080 yuan / ton. At the beginning of the day, Shanghai lead ran along the 16050 yuan / ton line, hitting 16090 yuan / ton at one time. Near noon, the short position was re-applied, adding code to enter the field, and the Shanghai lead shock reached 15920 yuan / ton. Finally, it closed at 15960 yuan / ton, down 15960 yuan / ton, down 0.62%, and the position was reduced by 282 hands to 52120 hands. The Shanghai lead newspaper drew up the upper shadow Xiaoyang line, and the 20-day moving average formed a strong suppression, resulting in the attempted rush of Shanghai lead. In addition, the lower 15800 yuan / ton platform is a very key psychological barrier at present. Once it falls, it will also open up the downward space. At night, we focus on whether the psychological platform can continue to play a supporting role.

Tin: after the opening of 143520 yuan / ton last night, the main tin 1909 contract in Shanghai fell rapidly to 142750 yuan / ton at the beginning of the day, and returned to rise after hitting the bottom. Around 143150 yuan / ton, the shock tidied up, giving back nearly half of the decline in the previous period. After opening 143280 yuan / ton in early trading this morning, it fell to an intraday low of 142530 yuan / ton at the beginning of the day, and then remained at 142900 yuan / ton until the close of trading. Finally, it closed at 143080 yuan / ton, down 143280 yuan / ton, down 0.21%. The trading volume was 15678, a decrease of 2272. The number of positions was reduced by 42904 hands. Today, Shanghai tin overall maintained a low consolidation, with a small negative line closing, located below all EMA, Shanghai tin is expected to support 142000 yuan / ton below, the upper resistance of 144500 yuan / ton.

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