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[overnight quotation] the metal market fell, the dollar fell again, and US stocks closed slightly higher and gold futures rose sharply.
Jul 23,2020 06:51CST
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Source:SMM
The content below was translated by Tencent automatically for reference.

SMM7 March 23: yesterday, non-ferrous metals were generally green. Abroad, Lunni fell 2.79%, Lunzn Zinc fell 1.89%, Lunn lead fell 1.49%, Lun Copper fell nearly 1.31%, Lun Aluminum fell 0.59%, Lunxi was flat, and the price of (LME) copper on the London Metal Exchange fell on Wednesday, as the stronger dollar triggered profit-taking, and the market was waiting to observe consumption outside China. The recent rise in copper prices has been driven by strong demand from China's economic stimulus measures. Domestically, shanghai nickel fell 1.85%, shanghai lead fell 1.66%, shanghai zinc fell 1.05%, shangxi fell 1.02%, shanghai copper fell 0.86%, shanghai aluminum fell 0.03%.

The dollar index fell 0.22% to 94.978. Analysts point out that this is part of global re-inflation, and that perhaps the multi-year dollar bull market has come to an end. The key reason for the dollar's weakness is that real interest rates in the US are low and promises to go lower further. The euro rose to its highest level against the dollar in nearly two years on Wednesday, and commodity currencies also rose as risk-taking continued after EU leaders reached a fiscal stimulus deal on Tuesday. Separately, the Fed, which is scheduled to hold a two-day policy meeting next week, is expected to keep interest rates near zero to support an economy hit by epidemic-related blockades.

In terms of US stocks, US stocks closed slightly higher on Wednesday. The U.S. Congress continues to negotiate a new round of fiscal stimulus. Pfizer and BioNTech received orders for vaccines worth $1.95 billion from the U.S. Department of Health. Investors also pay attention to international geopolitical risks and corporate financial statements. The Dow rose 165.44 points, or 0.62%, to 27005.84; the Nasdaq rose 25.76 points, or 0.24%, to 10706.13; and the S & P 500 rose 18.72 points, or 0.57%, to 3276.02.

In terms of crude oil, international oil prices were virtually unchanged on Wednesday, despite US government data showing an unexpected increase in US crude oil stocks and rising tensions between China and the US. However, analysts say oil prices have moved away from intraday lows and gained some support from the weak dollar and progress in the development of a new crown vaccine. Crude oil and distillate stocks unexpectedly rose in the United States last week and fuel demand fell as a surge in the number of people infected with New Crown pneumonia hurt consumption in the country, according to a report released by the US Energy Information Administration (EIA) on Wednesday.

In precious metals, COMEX gold futures surged to a nine-year high on Wednesday as rising tensions between China and the US spurred safe-haven demand, while silver followed gold's rally to a nearly seven-year high on hopes of a recovery in industrial demand. Analysts point out that gold prices are accelerating, mainly because of geopolitical tensions with China. The escalation of tensions seems to show no sign of ending, and sentiment will be hit as the world's two largest countries continue to squabble.

In terms of data, the monthly rate of FHFA house price index in the United States in May, the previous value: 0.20%, expected: 0.30%, published:-0.3%, revised: 0.1% (previous value).

Total annualized sales of existing homes in the United States in June (10,000 units), previous value: 391, expected: 478, published: 472.

Agencies commented on the annualized monthly rate of existing home sales in the United States in June: although the outlook for the housing market was suppressed by low inventories and high unemployment during the epidemic, mortgage rates were historically low. The annualized monthly rate of existing home sales in the United States recorded 20.7% in June, the biggest increase on record.

Us EIA crude oil inventory (10,000 barrels) for the week to July 17, previous value:-749.3, forecast:-208.8, announcement: 489.2.

EIA reported that commercial crude oil stocks in addition to the strategic reserve increased by 0.9 per cent, to 536.6 million barrels, by 4.892 million barrels. Last week, domestic crude oil production in the United States increased by 100000 barrels to 11.1 million barrels per day. Us crude oil exports rose 450000 b / d to 2.993 million b / d last week.

(EIA): of the US Energy Information Administration, US crude oil imports from Saudi Arabia fell to their lowest level since April. Us distillate stocks rose to their highest level since 1982. Last week, gasoline inventories on the east coast of the United States fell the most since March 2019. Operating rates at East Coast refineries fell to an all-time low last week.

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