SHANGHAI, Apr 28 (SMM) – SHFE nonferrous metals broadly fell on Wednesday April 28 after a slew of economic data.
Shanghai nonferrous metals, except for nickel, traded lower on Wednesday April 28. Copper and tin shed 0.86% to lead the losses, lead declined 0.52%, zinc went down 0.32% and aluminium fell 0.24%, while nickel advanced 1.88%.
The ferrous complex fell across the board. Hot-rolled coil went down 0.97%, iron ore shed 1.04%, and rebar fell 0.7%.
Copper: The most-traded SHFE 2106 copper contract finished the day 0.86% lower at 71,340 yuan/mt. Open interest fell 13,442 lots to 176,000 lots. The Democratic Party of the US urged Biden to expand the scale of the "American Family Plan" to be announced on Wednesday, which made the prospect of its adoption in Congress slimmer. It is said that Biden will raise taxes on the rich and allocate $80 billion to strengthen tax audit, while give up raising inheritance tax. In terms of data, the consumer confidence index climbed to the highest level since the outbreak in April. In February, the S&P CoreLogic Case-Schiller National House Price Index hit the biggest increase in 15 years. The US economic data performed well and the market sentiment remained optimistic. The Fed meeting on interest rate and whether Powell's speech could affect the capital market and drive the LME market to hit a new high will be monitored tonight.
Aluminium: The most-liquid SHFE 2106 aluminium contract finished the day 0.24% lower at 18,480 yuan/mt. Open interest fell 15,542 lots to 283,065 lots.
Zinc: The most-active SHFE 2106 zinc contract closed down 0.32% at 22,135 yuan/mt. Open interest rose 573 lots to 100,780 lots.
Nickel: The most-traded SHFE 2106 nickel contract ended the day 1.88% higher at 127,330 yuan/mt today. Open interest fell 2,659 lots to 154,473 lots.
Lead: The most-traded SHFE 2106 lead contract ended the day 0.52% lower at 15,360 yuan/mt. Open interest fell 1,604 lots to 49,665 lots. This week is approaching the Labour Day holiday, while the downstream purchasing and restocking is not active, still on the sidelines. The contract will test support from five-day moving average tonight.
Tin: The most-liquid SHFE 2106 tin contract fell to a session low of 184,390 yuan/mt and finished the day 0.57% lower at 185,070 yuan/mt today. Open interest fell 3,166 lots to 18,621 lots. The market is waiting for the Federal Reserve's interest rate resolution and policy statement released on Thursday, and looking for clues related to the prospect of monetary policy, which has suppressed the enthusiasm of market transactions to a certain extent. Domestic tin prices were blocked due to lower-than-expected consumption and high inventories. The contract is expected to fluctuate at high in the near term. Pressure above will be seen from 188,000 yuan/mt today. Support below will be seen from 183,000 yuan/mt today.
