Crude oil rebounded, base metals showed mixed performance, COMEX gold fell nearly 1%, and ferrous metals series mostly fell. [Overnight Market]

SMM April 23 Report: In the metals market: Overnight, domestic base metals showed mixed performance. SHFE tin fell by 0.68%, SHFE copper rose by 0.86%, SHFE nickel increased by 0.15%, and SHFE lead dropped by 0.74%. SHFE aluminum remained flat at 19,755 yuan/mt, while SHFE zinc gained 0.18%. Additionally, alumina rose by 0.6%. The ferrous metals series mostly fell, with iron ore rising by 0.49%, stainless steel slightly increasing, rebar declining by 0.32%, and HRC falling by 0.41%. For coking coal and coke: coking coal decreased by 0.32% and coke fell by 0.87%. Overnight, LME base metals generally rose, with LME copper dropping by 0.12%, LME zinc up by 0.1%, LME tin gaining 0.02%, LME lead down by 0.44%, LME aluminum rising by 0.46%, and LME nickel increasing by 0.69%. In the precious metals sector: overnight COMEX gold fell by 0.97% and COMEX silver declined by 0.08%. SHFE gold dropped by 0.76%, while SHFE silver rose by 0.68%. Data released by the World Gold Council (WGC) on Tuesday showed that as of April 18, global physical gold ETFs saw inflows of $3.4361 billion, with holdings reaching 3,544.5 mt, an increase of 33.4 mt or 1%. JPMorgan stated in a report on Tuesday that it expects the gold price rally to continue and forecasts that gold will break through $4,000 per ounce next year, amid rising risks of economic recession, US tariff hikes, and ongoing trade tensions. As of 8:19 am on April 23, overnight closing prices. Click here to view SMM futures data dashboard. On the macro front: Domestic news: [SAFE: Attractiveness of China's securities market to foreign capital is expected to continue to grow] Li Bin, deputy director and spokesperson of the State Administration of Foreign Exchange, said that the country introduced the "2025 Action Plan for Stabilizing Foreign Investment" in February, providing a favorable business environment for foreign investors. Meanwhile, China is steadily expanding its financial market opening, broadening cross-border investment and financing channels, and highlighting the function of RMB as a diversified asset allocation tool, which is expected to further enhance the attractiveness of the domestic securities market to foreign capital. [Hebei Party Secretary Ni Yuefeng: Cultivate and expand aerospace information and satellite internet, new energy and intelligent connected vehicles, robotics, and other industries] The Hebei Science and Technology Awards Conference was held in Shijiazhuang on April 21. Ni Yuefeng, Party Secretary and Chairman of the Standing Committee of the Provincial People's Congress, emphasized at the meeting the need to actively build complementary regional innovation chains, industrial chains, and supply chains, and to transform major national strategic opportunities into drivers of innovative development. It is necessary to widely gather innovative resources, strengthen and solidify the Hebei Center and Xiongan Center of the Beijing-Tianjin-Hebei National Technology Innovation Center, enrich and expand the Xiongan activities, and cultivate and expand aerospace information and satellite internet, new energy and intelligent connected vehicles, robotics, and other industries, to better absorb the spillover effects of technology and industry from Beijing and Tianjin. [Heilongjiang: Accelerate the release of consumption potential and deepen the implementation of the consumer boost action] Liang Huiling, Deputy Secretary of the CPC Heilongjiang Provincial Committee and Governor, presided over a regular provincial government meeting on April 21 to analyze the province's economic situation in Q1 2025 and arrange the next steps. The meeting stressed the need to accelerate the release of consumption potential, deepen the implementation of the consumer boost action, focus on stabilizing employment, promoting income growth, and strengthening social security, to enhance consumption capacity, boost consumption willingness, create consumption scenarios, and innovate consumption models, thereby invigorating the consumer market. Efforts should be made to expand effective investment, increase investment in advanced manufacturing, strategic emerging industries, and high-tech industries, promote key industrial projects, and expedite the construction of ultra-long-term special treasury bonds, central budgetary investments, and local government special bond projects, to form more tangible workloads. It is also necessary to consolidate the momentum of industrial growth, focusing on key regions for stable operations, key industries for strong support, key enterprises for upgrading, and key projects for expansion, to achieve both quality and reasonable growth in the economy. [Shaanxi: Expand the scope of the trade-in policy for consumer goods and fully release domestic demand potential] Shaanxi Governor Zhao Gang presided over the 14th regular provincial government meeting on April 21 to analyze the province's economic situation in Q1 and arrange the next key tasks. The meeting pointed out the need to adhere to goal-oriented and problem-oriented approaches, solidify agricultural production, stabilize the energy industry through various measures, gradually expand power transmission scale, increase support and monitoring for non-energy key industries, promote the quality and capacity expansion of profitable service industries, and accelerate the development of wholesale, retail, accommodation, and catering industries driven by high-quality scenic spots, events, and performances. Efforts should also be made to tap into the growth potential of the financial industry and firmly lay the foundation for steady growth. It is necessary to accelerate the construction of key projects, continuously expand beneficial investments, expand the scope of the trade-in policy for consumer goods, organize various promotional activities, and fully release domestic demand potential. Promote the deep integration of scientific and technological innovation and industrial innovation, continuously deepen reforms in key areas, further expand domestic and international openness, and strive to enhance the level of the Xi'an assembly center for the China-Europe Railway Express. Make every effort to stabilize foreign investment and foreign trade, and continuously stimulate the vitality of economic development. [Jilin: Provide subsidies of 20,000 yuan and 15,000 yuan respectively for individuals scrapping and updating to purchase new energy and fuel passenger vehicles eligible for vehicle purchase tax reduction] The General Office of the Jilin Provincial People's Government issued the "Implementation Plan for the Consumer Boost Action in Jilin" on April 22. It proposed supporting Changchun City in applying to become a pilot city for national automobile circulation and consumption reform. Organize auto shows and small-scale car exhibitions. In 2025, individual consumers who transfer their registered passenger vehicles and purchase new fuel or new energy passenger vehicles within the province will receive subsidies ranging from 3,000 yuan, 7,000 yuan, 11,000 yuan, 13,000 yuan, or 4,000 yuan, 8,000 yuan, 12,000 yuan, 15,000 yuan based on the invoice amount. Individuals who scrap eligible passenger vehicles and purchase new energy or fuel passenger vehicles eligible for vehicle purchase tax reduction will receive subsidies of 20,000 yuan and 15,000 yuan, respectively. In 2025, there will be no restrictions on the registration location of new vehicles, and the restrictions on the registration and transaction locations of old vehicles will be lifted. The "Jilin Province Vehicle Replacement and Update Service Platform" will be optimized and upgraded to facilitate one-stop online processing of vehicle information comparison. Support used car dealers to strengthen main body cultivation and brand building, and promote the growth and strength of used car dealers. On the US dollar front: Overnight, the US dollar index rose by 0.63% to 98.98, with the lowest intraday drop to 97.91. The market temporarily ignored Trump's harsh words towards Fed Chairman Powell, who is widely regarded as a stabilizing force in the market. Concerns about the independence of the US Fed threaten the value of the dollar as a reserve currency, and analysts noted that many investors heavily exposed to US assets may withdraw. On Friday, National Economic Council Director Hassett said that the US President and his team were continuing to study whether they could fire Powell, who had previously stated that the Fed could remain patient in determining how to set policy. Traders will also pay attention to the speeches of several Fed officials later this week, hoping to find clues about future monetary policy amid concerns about the Fed's independence. In other currencies: Barclays raised its forecast for the euro/dollar to $1.15, based on the assessment that the dismissal of the Fed Chairman is a low-probability event, but noted that if the situation escalates, further revisions may be needed soon. (Webstock Inc.) Weak UK inflation data and a deteriorating labour market outlook pose challenges for the pound. UK inflation fell to a three-month low in March, and the labour market weakened before the employer tax increase this month. The market has fully priced in a 25 basis point interest rate cut by the Bank of England next month and an 87 basis point cut by the end of the year. Bank of England policymaker Green stated that Trump's tariffs could lead to lower-than-expected UK inflation. (Huitong Finance) On the macro front: Today, the following data will be released: France's April SPGI Manufacturing PMI preliminary, Germany's April SPGI Manufacturing PMI preliminary, Eurozone's April SPGI Manufacturing PMI preliminary, UK's April SPGI Services PMI preliminary, UK's April SPGI Manufacturing PMI preliminary, Eurozone's February seasonally adjusted trade balance, US's March building permits monthly revision, US's April SPGI Manufacturing PMI preliminary, and US's March seasonally adjusted new home sales annualized total. Additionally, noteworthy events include 2026 FOMC voter and Minneapolis Fed President Kashkari delivering a speech; Fed Governor Kugler speaking on "Monetary Policy Transmission"; 2025 FOMC voter and St. Louis Fed President Musalem and Fed Governor Waller giving opening remarks at an event; and the G20 Finance and Central Bank Deputies Meeting, which will run until April 24. In the crude oil market: Overnight, both oil futures rose, with WTI up by 1.81% and Brent up by 2.37%. Oil prices rebounded from the sharp sell-off in the previous trading session. Despite the rebound on Tuesday, the market remains concerned that US tariffs could weaken global economic activity, putting pressure on future oil prices. According to CCTV News, on April 22, the US Treasury Department's Office of Foreign Assets Control (OFAC) announced sanctions against Seyed Asadoollah Emamjomeh, a major Iranian LPG figure, and his corporate network. The statement indicated that the network was responsible for transporting billions of dollars worth of Iranian LPG and crude oil to overseas markets. According to CCTV News, Interfax reported earlier on April 21 that Russia's Ministry of Economy had revised its forecast for the average Brent crude oil price in 2025, lowering it by nearly 17% from $81.7 per barrel to $68 per barrel compared to September last year. Data released by the American Petroleum Institute (API) showed that US crude, gasoline, and distillate inventories all declined last week. The API report indicated that in the week ending April 18, US crude inventories fell by 4.6 million barrels, gasoline inventories decreased by 2.2 million barrels, and distillate inventories dropped by 1.6 million barrels. The US Energy Information Administration (EIA) will release its weekly crude inventory report at 10:30 pm on Wednesday. Analysts surveyed previously estimated that US crude inventories would decrease by 800,000 barrels, gasoline inventories would fall by 1.4 million barrels, and distillate inventories would remain unchanged. (Webstock Inc.)