Home / Metal News / Precious Metals / [SMM Daily Review] the US dollar continued to rise and discouraged the precious metal Shanghai Silver down more than 7%, Shanghai Aluminum, Shanghai Zinc fell more than 1%, and the metal market was more green.
[SMM Daily Review] the US dollar continued to rise and discouraged the precious metal Shanghai Silver down more than 7%, Shanghai Aluminum, Shanghai Zinc fell more than 1%, and the metal market was more green.
Sep 23,2020 16:22CST
The content below was translated by Tencent automatically for reference.

SMM9 March 23: today's domestic non-ferrous metals market green manure red thin, by the end of the day, Shanghai Aluminum fell 1.68%, Shanghai Zinc fell 1.24%, Shanghai Copper fell 0.56%, Shanghai Nickel fell 0.39%, Shanghai lead rose 0.46%, Shanghai Tin rose 0.68%. The dollar index continued its rally on Wednesday, hitting another eight-week high of 94.19, supported by good US economic data and concerns about a second wave of outbreaks in Europe and the UK. Analysts pointed out that as the novel coronavirus epidemic hit confidence in Europe, the dollar may continue to rise in the short term, but the uncertainty of this year's US presidential election indicates that the dollar may tend to fluctuate more violently.

In terms of lead, Shanghai lead negative, below by the 5-day and 10-day moving average support, KDJ index is still upward exposure, at the same time, the fundamentals downstream consumption is light, but the rising price of waste batteries makes the cost support line of recycled lead move up, it is expected that Shanghai lead will still be mainly horizontal adjustment in the short term.

[brief Review of lead in SMM period] the trend of short-term consolidation of high-level lead in Shanghai remains unchanged.

In terms of nickel, due to the unabated strength of the US dollar, it has been broken on the 60-day moving average, and it is expected that the nickel market will still be under pressure to test the bottom in the short term, while Shanghai Nickel remains in a weak position waiting for the guidance of the outer disk trend. therefore, we should pay attention to the support strength of 14250 US dollars / ton below Lunni and 111000 yuan / ton of Shanghai Nickel, and it is expected to stop falling and rebound only after the macro mood is stable.

[SMM Nickel brief Review] the US Index breaks the position and Shanghai Nickel pierces the 60-day average short-term pressure and still waits for the guidance of the outer disk.

In terms of black series, thread rose 0.17%, hot coil rose 0.44%, stainless steel rose 0.36%, coke fell 0.82%, coking coal rose 0.16%, iron ore fell 0.65%, and news face. According to CISA statistics, in mid-September 2020, iron and steel enterprises produced a total of 21.4559 million tons of crude steel, 18.9559 million tons of pig iron, 20.4522 million tons of steel and 3.1565 million tons of coke. The average daily output in this decade is 2.1456 million tons of crude steel, up 0.42% from the previous month and 1.94% over the same period last year; pig iron is 1.8956 million tons, down 0.03% from the previous month and up 0.47% from the same period last year; and steel is 2.0452 million tons, up 2.3% from the previous month and 4.05% from the same period last year.

Crude oil fell 1.05 per cent in the previous period and US oil fell more than 1 per cent on Wednesday after an industry group reported an unexpected increase in US crude oil inventories, reigniting concerns about fuel demand. Concerns about fuel demand triggered a sharp fall in the oil market earlier this week. Us crude oil stocks unexpectedly rose last week, while gasoline stocks fell by nearly 8 million barrels, according to data released by the American Petroleum Association (API) on Tuesday.

In terms of precious metals, Shanghai gold fell 1.68% and Shanghai silver fell 7.45%. After yesterday's limit, Shanghai silver fell again on Wednesday, the more-than-expected deterioration of the epidemic in Europe, the uncertainty of the US election and other factors triggered market panic, and the US dollar once again became the first choice for safe haven. the market made an indiscriminate sell-off that led to a fall in precious metals.

Closing during the day, contracts in the metals and crude oil markets:

Today's capital flow

The domestic commodity market continued the state of large-scale capital outflow, with a net outflow of 4.168 billion yuan from the Mandarin Commodity Index. The oil chain suffered 1.937 billion capital abandonment, of which nearly 1 billion fled the soybean oil index. The weak precious metals continued to suffer 1.458 billion capital reduction, with outflows of 851 million yuan from the silver index.

SMM comment
exclusive report
headline recommendation

For queries, please contact Frank LIU at liuxiaolei@smm.cn

For more information on how to access our research reports, please email service.en@smm.cn