SMM4 16: most of the non-ferrous metals market closed down today, due to the collapse of crude oil again dragged down. However, according to the Ministry of Industry and Information Technology, according to the monitoring of big data on some cloud platforms, as of April 15, the rework rate of small and medium-sized enterprises nationwide reached 84%. The rate of return to work in all regions has shown a trend of going hand in hand, with the rework rate of more than 80% in 25 provinces, including Hubei Province, which has also shown a rapid upward trend in recent days. Zinc rose 0.6 per cent in Shanghai. At present, the domestic zinc smelter raw material inventory is low, the average number of days is 19 days, the minimum existence of 5 days 10 days of the refinery, in order to maintain the completion of the annual production plan, the smelter will not easily reduce production, resulting in a high demand for mines, and mines due to low prices, poor willingness to ship, foreign trade deliberate hoarding, resulting in rapid reduction of processing fees, we believe that there is the possibility of processing fees continue to be reduced in the short term. Shanghai tin slightly fell, SMM believes that in the recent weak situation in supply and demand, Shanghai tin prices affected by the epidemic situation and the macro situation at home and abroad fluctuated violently, the previous session to 40-60 days moving average of 128880 yuan / ton after the action can be blocked, from the disk technical indicators, the recent need to guard against the risk of a pullback from a high level in the near future.
Black iron ore fell 0.33%, thread hot coil rose slightly. Consumption of threaded steel continues to rise and inventories continue to fall. The data show that the total thread warehouse has been reduced by more than 1 million tons, rapid depot under high production, strong demand growth, and short-term upward expectations. In the later stage of iron ore demand in foreign countries is generally affected, the shift to domestic resources has an increasing trend. But (Ibram), the Brazilian mining association, said on Wednesday that mineral output in Brazil fell 17 per cent in the first quarter of 2020 compared with the same period last year, and the impact of the new crown pneumonia outbreak on the industry in the second quarter was expected to deepen. Iron ore exports fell 17 per cent to 70.3 million tonnes in the first quarter from a year earlier. In the later stage, attention should be paid to the shipment of iron ore to China.
Crude oil fell 5.86% in the previous period. Although OPEC+ reached a crude oil agreement to cut production sharply a few days ago, oil prices did not rebound sharply because of the depressed demand triggered by the epidemic, and the crude oil data in the IEA report once again confirmed the market's bearish expectations, and oil prices tumbled again. WTI crude oil futures fell below $20 a barrel again, down 0.2% on the day, after rising more than 3% at one point, while Brent crude oil futures also fell back to around 1%. Even after unprecedented production cuts, the supply glut will take time to resolve. "substantial increase in inventories & less than expected oil prices to return to the $20 mark
As of today's daytime close:
As of 16:10, the new US dollar denominated small metals contracts on the HKEx are as follows:
Today's capital flow
Commodities fell widely, and the commodity index was dominated by capital outflows, with blood loss approaching 2.4 billion. Iron ore weak shock, daily reduction of more than 50, 000 hands, by more than 500 million funds to sell, and coke was also rejected by more than 400 million funds, black chain index lost more than 1.1 billion funds. The soyabean scenery that led the rise yesterday is no longer, day reduces position nearly 40000 hands, outflow capital volume exceeds 300 million. Fuel oil fell ahead, investors increased their low positions by nearly 100000 hands, and the crude oil plate absorbed a total of more than 500 million gold.
Brief comment of SMM analyst on April 16th
SMM "current combination" training class
Registration contact: Lu Qingping, SMM Iron and Steel Division
Tel: 021-51595781 / 187-1777-4590