SHANGHAI, Mar 19 (SMM) – SHFE nonferrous metals fell broadly on Friday March 19. Copper declined 1.64%, aluminium slid 1.55%, zinc shed 0.83%, nickel slipped 0.12% and tin fell 0.91%, while lead advanced 0.27%.
Copper: The most-traded SHFE 2105 copper contract slid 1.64% to finish the day at 66,020 yuan/mt after hitting a one week low of 65,510 yuan/mt earlier in the session, with open interest losing 1,390 lots to 148,000 lots.
Talks between the U.S. and China got off to a rough start on Thursday, with both sides chiding and reprimanding each other in an unusual public display of tensions.
The meeting in Anchorage, Alaska was the first high-level meeting between the two countries under the administration of President Joe Biden, and came after more than two years of rocky relations between the two countries.
Global stock markets fell broadly amid mounting US-China tensions even as the Bank of England kept interest rates and its bond buying program unchanged on Thursday, following the lead of the U.S. Federal Reserve with a cautious tone on the prospects for future rate hikes.
Aluminium: The most-active SHFE 2105 aluminium contract ended the day 1.55% lower at 17,415 yuan/mt, with open interest decreasing 22,509 lots to 232,000 lots, and is expected to fluctuate above 17,300 yuan/mt tonight.
Energy consumption restrictions in Inner Mongolia will reduce local aluminium supply. High aluminium prices encouraged resumption of some smelters and inflow of overseas aluminium ingots, but also curbed downstream demand.
Zinc: The most-liquid SHFE 2105 zinc contract fell to a one week low of 21,240 yuan/mt before regaining some ground the close the day 0.9% lower at 21,420 yuan/mt, with open interest losing 2,139 lots to 55,842 lots. Zinc prices are expected to halt declines tonight amid expectations of tighter zinc ingot supply.
Nickel: The most-active SHFE 2106 nickel contract dropped to 118,000 yuan/mt after the bell, its lowest in 2021, before reversing some losses to finish the day 0.12% lower at 120,610 yuan/mt, with open interest decreasing 10,792 lots to 130,000 lots.
Lead: The most-traded SHFE 2104 lead contract added 0.27% to end the day at 14,820 yuan/mt, with open interest losing 10,113 lots to 28,264 lots.
Tin: The most-liquid SHFE 2105 tin contract dropped 0.91% to close the day at 174,870 yuan/mt, with open interest losing 884 lots to 31,961 lots, and is expected to move between 170,000-180,000 yuan/mt tonight.
