SMM Morning Review
SMM Iron and Steel Morning meeting minutes: yesterday even iron strong operation, the port spot market early quotation than yesterday raised 20-25 yuan / ton. Some steel mills are enthusiastic about inquiry today, and the willingness of traders to ship goods today is higher than that of the previous period, and there is limited room for bargaining in the market.
[summary of SMM Steel Morning meeting] Coke market as a whole is stable and the roll price continues to fluctuate in the short term.
Each variety of early review point of view is being updated, please refresh later to check ~!
The market closed overnight.
The dollar was little changed on Wednesday as oil prices slowed after a two-day rally and US bond yields rose as investors waited for the Fed to provide clues about scaling back economic support measures at this week's Jackson Hole seminar. Former Federal Reserve Chairman Ben Bernanke said the U.S. economy grew better than expected on the back of fiscal and monetary policy.
The metal market has been mixed, with Shanghai copper rising for five consecutive trading days, and Shanghai tin rushing up after a brief pullback last week, or is expected to hit the front high. Shanghai copper rose 0.09%, Shanghai aluminum fell 0.27%, Shanghai lead was flat, Shanghai zinc fell 0.07%, Shanghai nickel rose 0.01%, Shanghai tin rose 1.05%.
[overnight market] Metals rise and fall with each other | the Nasdaq and S & P 500 have risen for five consecutive trading days.
Today, we will focus on the actual annualized quarterly rate of GDP in the United States in the second quarter and the annualized quarterly rate of the core PCE price index.
[macro outlook] focus on the actual annualized quarterly rate of GDP in the United States in the second quarter and the annualized quarterly rate of the core PCE price index
U.S. stocks closed higher on Wednesday, with the Nasdaq and the S & P 500 setting new intraday and closing records, with the S & P (4496.1899,9.96, 0.22%) breaking through 4500 for the first time in intraday trading. Banks and reopened concept stocks led gains. Yields on 10-year Treasuries climbed. The market is concerned about the epidemic in the United States and the upcoming annual meeting of the Federal Reserve. The Dow was up 39.24 points, or 0.11%, at 35405.50; the Nasdaq was up 22.06 points, or 0.15%, at 15041.86; and the S & P 500 was up 9.96, or 0.22%, at 4496.19. So far, both the S & P 500 and the Nasdaq have recorded their fifth consecutive day of gains. The Nasdaq rose as high as 15059.43 today, while the S & P rose to 4501.71, all new intraday highs.
Crude oil futures closed higher on Wednesday as data showed that US crude oil inventories fell for the third consecutive week, pushing crude oil futures to their longest straight rise so far this month.
In precious metals, COMEX gold futures fell on Wednesday, with the biggest one-day drop in more than two weeks dragging prices below $1800 an ounce for the first time in three days, as investors hoped to see a timetable for the Fed's cutback in economic support measures at this week's Jackson Hole seminar as the dollar rose.
LME inventory
Macro focus
[ECB Chief Economist Lane: the ECB is willing to take action to deal with any spillover effects of the Fed.] when the Fed starts to scale back its bond purchases, "the ECB will not be passive on the sidelines," said Lian, chief economist of the ECB. If there is a spillover effect on eurozone financial conditions, we are willing and able to take appropriate action, as we have shown.
[a Taliban spokesman tweeted that the Taliban delegation met with the Chinese ambassador in Kabul in response] according to Russia's Tass news agency, Mohamed Naim, spokesman for the Afghan Taliban political office in Doha, Qatar, tweeted on the 24th that the Taliban delegation met with the Chinese ambassador to Afghanistan and his party in Kabul. Reported that the two sides discussed the current situation in Afghanistan and other issues. In this regard, Chinese Foreign Ministry spokesman Wang Wenbin said at a regular press conference on the 25th that China has smooth and effective communication and consultation with the Afghan Taliban. Kabul is naturally an important platform and channel for the two sides to discuss various important issues. I would like to emphasize that China's policy toward Afghanistan is consistent and clear. We always respect the sovereignty, independence and territorial integrity of Afghanistan, pursue a policy of non-interference in Afghanistan's internal affairs, and adhere to a friendly policy oriented to all the Afghan people. China respects the Afghan people's independent decision on their own future and destiny, and supports the implementation of the principle of Afghan-led Afghan ownership. He is willing to continue to develop good-neighborly, friendly and cooperative relations with Afghanistan and play a constructive role in the peace and reconstruction of Afghanistan.
Han Zheng: grasp the focus of work and promote the construction of Hainan free trade port in a down-to-earth manner. Han Zheng presided over a special meeting of the leading group on promoting Hainan's comprehensive deepening of reform and opening up on the 25th. Han Zheng stressed that the construction of a free trade port with Chinese characteristics is a pioneering undertaking, and it is necessary to fully implement the "General Plan for the Construction of Hainan Free Trade Port," adhere to the problem orientation, grasp the focus of work, and promote it in a down-to-earth manner. It is necessary to strengthen reform and innovation, focus on trade and investment liberalization and facilitation, comprehensively promote the minimalist examination and approval system, strengthen supervision after the event, and establish regulatory standards and norms in line with international standards. It is necessary to persist in treating enterprises of different forms of ownership equally, so that all kinds of market entities can enjoy equal treatment in terms of factor acquisition, access permits, preferential policies, and so on.
According to the news of the Ministry of Ecology and Environment on 25 August, in order to thoroughly implement Xi Jinping's thinking on ecological civilization, according to the "regulations on the work of Central Ecological Environmental Protection inspectors," with the approval of the CPC Central Committee and the State Council, the second round of the fourth batch of central eco-environmental protection inspectors was launched in an all-round way. Set up seven central eco-environmental protection supervision teams (hereinafter referred to as the inspection group), respectively in Jilin, Shandong, Hubei, Guangdong and Sichuan provinces. China Nonferrous Mining Group Co., Ltd., China Gold Group Co., Ltd. two central enterprises to carry out about one-month inspection work.
[Weng Jieming, deputy director of SASAC: speeding up the horizontal integration of similar business of central enterprises and vertical integration of upstream and downstream of industrial chain] Weng Jieming, deputy director of SASAC, said on Wednesday that he would guide central enterprises to establish and improve a working mechanism with clear responsibilities and a clear division of labor in the course of structural adjustment and reorganization, formulate a meticulous and appropriate integration plan, and speed up the horizontal integration of similar businesses and the vertical integration of the upstream and downstream of the industrial chain. And Synchronize to do a good job of management, technology, market resources and other integration and coordination. Carry out special investigation and supervision on reorganized enterprises, supervise and urge to further strengthen the integration of internal resources, improve the efficiency of resource allocation, give full play to synergy, release restructuring dividends, and achieve the restructuring goal of "1-12".
[the US Trade Representative holds talks with US business groups to reiterate the importance of US-China trade relations] according to the official website of the Office of the US Trade Representative, the heads of the two major US business groups, including the National Committee on US-China Trade, held a video conference on Tuesday. Us Trade Representative Dai Qi said that the United States is conducting a comprehensive review of U.S.-China trade policy and reiterated the importance of the U.S.-China trade relationship. Small Financial Note: at the beginning of this month, the US-China Business National Committee sent a letter to US Treasury Secretary Yellen and Trade Representative Dai Qi, urging the US government to expand bilateral trade and eliminate tariffs previously imposed due to trade frictions.
[Li Hui, director of the State Pipe Network Group: the net profit of 17.326 billion yuan in the previous July will accelerate the construction of key projects] Li Hui, director and deputy secretary of the party group of the State Oil and Gas Pipeline Network Group Co., Ltd., said on Wednesday that from January to July this year, the main business income was 57.365 billion yuan and the net profit was 17.326 billion yuan. Centering on the construction of a "national network", formulating and implementing the company's 14th five-year Plan, speeding up the construction of key projects, the construction of projects such as the middle and southern sections of the Sino-Russian eastern route and the Qingning pipeline were greatly accelerated and put into production ahead of schedule, while actively promoting the integration of provincial pipe networks in a market-oriented way.
Today's focus
[SMM Yangshan Copper spot Import Price pick-up Trader Shipping] August 25, 2021: today's warehouse receipt quotation is 90-120 US dollars / ton, the average price is 2.50 US dollars / ton higher than the previous trading day; the bill of lading quotation is 85-105 US dollars / ton, the average price is 7.50 US dollars / ton higher than the previous trading day. QP September, the quotation refers to the supply of goods arriving in September. LME 0-3 litres of water 2.50 US dollars / ton, import loss of around 100 yuan / ton. "View details
[SMM Analysis of rising Bauxite prices in Henan Province, dependence on imported ores has increased] in recent months, due to the influence of many factors, such as environmental protection inspectors, safety inspections, flood disasters, and counterattack of the epidemic situation, the production capacity of local mines is low, and ore production continues to decline, which has been unable to support the demand of local alumina plants. Before the shutdown mines are approved to resume production, the tight supply of local ore is a foregone conclusion. "View details
[ADC12 price daily review aluminum and silicon prices rise in tandem with recycled aluminum costs continue to rise] August 25 aluminum prices have not stopped. SMM A00 aluminum prices rose 190 yuan / ton to 20600 yuan / ton compared with yesterday, hitting a new high in recent years, and recycled aluminum prices continue to raise their quotations. "View details
[SMM data 2019 ~ 2021 recycled lead industry production and production comb] since 2019, domestic recycled lead smelters have been put into production, due to the concentration of capacity, resulting in SMM statistics of recycled lead production in 2020 began to increase significantly compared with the same period last year, due to short-term production capacity more, SMM for 2019 ~ 2021 recycled lead production re-combed, and in recent years the production of recycled lead enterprises for truthful feedback. "View details
In the 2021 semi-annual report, Yongjin shares said that during the reporting period, the second production line of Jiangsu Yongjin IPO project "annual processing of 75000 tons of ultra-thin precision stainless steel strip project" has entered the installation stage, with the exception of some imported equipment, the rest of the equipment has been basically put into production during the reporting period. "check the details.
[steel recruitment Trends-High carbon ferrochromium] the purchase price of high carbon ferrochromium of Qingshan Group in September 2021 is 9995 yuan / 50 base (including cash tax to the factory price), which is 800 yuan / 50 base tons lower than that in August, and the receiving price of Tianjin Port is reduced by 150 yuan / 50 base tons. The latest delivery date is October 10, 2021. "View details
Recently, demand has become the key word of steel price trend, while production restrictions are implemented on a large scale, the weakening demand of Synchronize has become the main factor dragging down steel prices. As "Jinjiu" is approaching, can the pattern of double weakness of supply and demand be broken?. SMM conducted a centralized survey on the acceptance of orders from 30 steel mills, and the results showed that "check the details."
Wang Yidong, deputy general manager of Angang Group: achieve a total profit of 20.2 billion yuan in the first half of the year to ensure the realization of the "7531" target. Wang Yidong, member of the standing Committee of the party committee and deputy general manager of Angang Group Co., Ltd. In the future, under the guidance of the unified planning goal, we will build a new Angang with high quality, and ensure the realization of the "7531" development goal of 70 million tons of crude steel, more than 50 million tons of iron concentrate, 300 billion levels of operating revenue and 10 billion levels of profits. we will form a new pattern of iron and steel industry with Baowu in the south and Angang in the north.
At the beginning, Si-mn 6517 was stimulated by Ningxia "double control" to be interviewed, the futures market continued to rise, the spot market mentality was obvious, and the price rose slightly. In addition, near the end of the month, manufacturers' orders have been full, although the situation of power cuts in the main producing areas has been alleviated, but the recovery of production by manufacturers in a short period of time is limited, the spot market is relatively scarce, and all parties cherish selling at low prices. "View details
[SMM research silicon price skyrocketing primary aluminum alloy regeneration waves] recently silicon prices have hit new highs. What is the impact of silicon price changes on primary aluminum alloy factories? How to deal with the original aluminum alloy factory? The SMM survey is as follows. "check the details."
[SMM molybdenum spot KuaiBao molybdenum mine enterprise high price resources blocked market overall stable wait and see] at present, the overall performance of domestic and foreign markets is relatively stable, SMM believes that prices are difficult to have a major breakthrough in the short term, but September is the traditional peak season for molybdenum consumption, in the long run, domestic molybdenum prices still have some room to rise, enterprises and traders can choose to retain an appropriate amount of inventory. "View details
[SMM Coke Market in-depth Analysis Environmental Supervision team tightened production restrictions in Shandong Coke Enterprises] on August 25th, members of the new round of environmental protection inspection team have arrived in Shandong and are expected to leave on October 10th. Shandong is about to face a new round of safety and environmental protection inspections, and the production of coke enterprises will be affected. according to relevant sources, this environmental protection inspector will aggravate the situation of production restriction, with an impact of about 5%, 10%, and the previous policy of "fixing coke by steel and fixing production by coal". In the end, the production limit proportion of coke enterprises in Shandong should be between 40% and 60%, although the impact this time is not great. "check the details.
[key news of the SMM coke market: coal transport vehicles have suspended customs clearance and vehicles transporting copper mines can still operate normally.] on the 24th, Bayinbilige, director of the Party and Government Comprehensive Office of the Ganqimaodu Port Management Committee, declared that due to the repeated positive results of Mongolian coal drivers in novel coronavirus's test results, coal transport vehicles have been suspended from customs clearance at present, but he also stressed that the port is still normally open and has not been closed. Vehicles carrying copper mines can still go through customs normally. "View details
[SMM magnesium ingot spot KuaiBao magnesium price maintains rising trend] Today, the mainstream ex-factory price of 90 magnesium ingots in Fugu area is 24900-25100 yuan / ton, and the mainstream ex-factory price of 95B magnesium ingots is 25400-25500 yuan / ton; the ex-factory price of 90 magnesium ingots in today's main producing areas is 900 yuan / ton higher than that of yesterday. Please see the detailed quotation and reasons for the increase as follows. . "View details
[SMM Daily Review: trading in the rare earth market weakens and prices of mainstream products are stable.] on Wednesday, trading in the rare earth market weakened, the prices of rare earth products such as praseodymium, neodymium, terbium and dysprosium were all lowered, and downstream magnetic companies remained on the sidelines. At present, metal factories are mainly long orders, zero orders are relatively few, coupled with the shortage of spot, the current sales pressure is not great, most do not take the initiative to quote, carefully wait and see. "View details
Important news of metals and industry
The Indonesian minister said Australia's Fortescue Metals Group and China's Aoyama Holdings could invest billions of dollars in an industrial zone for metal smelting near a planned hydropower station on the island of Borneo. The two companies have been in talks on the project since the start of the year, and Luhut Pandjaitan, the minister of maritime affairs and investment, said smelting of iron, nickel and copper ore at the estate could begin as early as 2023.
[Boliwei China reported revenue 1.021 billion plans to invest 3 billion to expand the production of lithium batteries and energy storage batteries in Dongguan] Boliwei realized operating income of 1.021 billion yuan in the first half of the year, an increase of 89.34% over the same period last year, and net profit of 85.478 million yuan, an increase of 64.61% over the same period last year. Bo Liwei also announced that it intends to sign an investment agreement with the people's Government of Wangniudun Town, Dongguan City, with a total investment of about 3 billion yuan.
[overseas high-nickel models release high-nickel materials / lithium hydroxide "popular"] data show that in July, the Chinese market produced about 33300 tons of ternary cathode materials, an increase of 82.3 percent over the same period last year. Among them, the monthly output of high-nickel ternary materials (nickel 8 series and above) was 13820 tons, an increase of 268.5% over the same period last year, accounting for 41.6% of the ternary materials, surpassing the nickel-5 series ternary materials, which had been dominant all the time, and became the "new king" of ternary materials.
[development and Reform Commission: recently, coal supply in power plants has generally exceeded coal consumption and coal storage has rebounded rapidly] according to the National Development and Reform Commission, since mid-August, national coal production has remained high and stable, power coal supply has steadily increased, and coal supply in power plants has generally exceeded coal consumption, and coal storage has rebounded significantly. Dispatching data show that since August 10, the average daily coal supply of power plants across the country has been 6.63 million tons, an increase of nearly 400000 tons over the average daily coal supply in July, and the average daily coal consumption has been 6.4 million tons, nearly 400000 tons less than the average daily coal consumption in July, and coal storage has rapidly rebounded by nearly 3 million tons. Next, as daily consumption continues to decline, coal storage in the power plant is expected to further increase.
According to the National Development and Reform Commission (NDRC), after the peak of coal consumption in early August, the national consumption of thermal coal gradually fell. On August 23rd, the coal consumption of power plants across the country was 6.3 million tons, down more than 1.1 million tons from the peak on July 15, a drop of 15 percent. With the decline of consumption and loose supply and demand of coal, the storage of coal in the port began to accumulate. As of August 24, Qinhuangdao Port had stored 4.68 million tons of coal, an increase of 600000 tons over the end of July.
[development and Reform Commission: another 16 open-pit coal mines have obtained land approval and are resuming production in an orderly manner] in order to speed up the release of advanced coal production, the relevant state departments and the Inner Mongolia Autonomous region actively promote the succession of land for open-pit coal mines and resume normal production as soon as possible. Following the approval of more than 20 open-pit coal mines last month, another 16 Ordos open-pit coal mines have been approved recently, involving a production capacity of about 25 million tons per year, and an open-pit coal mine with a production capacity of nearly 50 million tons per year will be approved one after another in mid-September. After all normal production, the monthly output can be increased by more than 7 million tons.
[Ministry of Industry and Information Technology: tackling key technical problems in the production of metal magnesium by anhydrous magnesium chloride electrolysis to solve the technical problems perplexing the development and utilization of salt lake resources] the Ministry of Industry and Information Technology replied to proposal No. 0899 of the fourth session of the 13th National Committee of the Chinese people's political Consultative Conference (No. 85 of posts and Telecommunications) of the 13th CPPCC National Committee that, in the next step, it will continue to work with relevant departments to further strengthen scientific and technological support work such as efficient development and comprehensive utilization of salt lake resources. Guide local governments and enterprises to do a good job of chlorine products and other related demonstration, carry out anhydrous magnesium chloride electrolysis production of metal magnesium technology, and promote the solution of technical problems perplexing the development and utilization of salt lake resources. We will work with the Development and Reform Commission and other departments to formulate relevant industrial policies to continue to help enterprises reduce costs and burdens and promote the sustainable development of the salt lake industry. Together with relevant departments, we will encourage qualified industrialization agglomeration areas to declare national demonstration bases for new industrialization industries, support the central and western regions to speed up the cultivation and development of advanced manufacturing clusters in subdivided areas of advantage, continue to support qualified salt lake enterprises in Qinghai and Xinjiang to establish green manufacturing systems, and promote the green transformation and upgrading of salt lake industries.
[Baoji titanium industry's net profit nearly doubled the development of the titanium industry] recently, Baoji titanium industry released a semi-annual results report, the first half of the operating income of 2.84 billion yuan, an increase of 39.41% over the same period last year. The net profit belonging to shareholders of listed companies was 278 million yuan, an increase of 95.56% over the same period last year.
In response to the CPPCC proposal, the Ministry of Industry and Information Technology said that the state attaches great importance to the development of the titanium dioxide industry and actively promotes the industrialization of new processes and the comprehensive utilization of resources. In accelerating the research and development of core processes and pilot projects of new processes, the Ministry of Industry and Information Technology, together with relevant departments, will pay close attention to the R & D and industrialization of titanium dioxide process by hydrochloric acid extraction, and steadily promote the pilot projects of new processes. At the same time, the Ministry of Industry and Information Technology, together with relevant departments, will actively promote industry associations and standardized technical organizations to further speed up the development of relevant standards for the titanium industry, encourage the rational formulation of local emission standards, actively participate in the formulation of international standards, and constantly improve the standard system, to provide technical support for the optimization, adjustment, transformation and upgrading of the titanium dioxide industry.
Terminal information
The biggest increase in history! TSMC chip contract prices up to 20% to break market conditions reverse doubts] since yesterday, there has been intensive news of price increases from wafer foundry manufacturers in the market, among which TSMC, which has been relatively restrained before, has become the focus of the market. According to industry sources, TSMC has informed MediaTek, Ruiyu, Lianyong and other customers on the 24th that the production process above 16nm will increase by 20%, and the new order will come into effect in December. Industry insiders say this is the biggest rise in the history of TSMC.
[after TSMC, Arizona plans to attract more chip supporting companies] on Tuesday, the Economic Commission of Greater Phoenix, Arizona, said on Tuesday that they have signed an agreement with the Taiwan-US Industrial Cooperation Promotion Office, which is supported by Taiwan's economic department, to seek to attract more Taiwan's semiconductor industry to Phoenix.
[us suppliers are allowed to sell auto parts chips to Huawei] according to foreign media reports, US officials have approved Huawei's application for a license to buy chips for its growing auto parts business, according to foreign media reports. Huawei, the world's largest telecoms equipment maker, has struggled after the Trump administration imposed trade restrictions on the sale of chips and other components used in network equipment and smartphones. The Biden administration has also been stepping up its hard line on exports to Huawei, not allowing US suppliers to sell chips for or in conjunction with 5g equipment to Huawei.
[Samsung Electronics will invest $205.6 billion to expand its influence in areas such as semiconductors] Samsung Electronics said on Tuesday that it would invest 240 trillion won ($205.64 billion) over the next three years. to expand the company's influence in areas such as biopharmaceuticals, artificial intelligence, semiconductors, telecommunications and robots. The company hopes to consolidate its leading position in chips with the investment while seeking more growth opportunities in new areas such as next-generation telecommunications and robotics.
[Japan's electric car parts revenue is expected to double in four years under the wave of car electrification] under the background of global automobile electrification, Japan's largest auto parts company (Denso Corp.) Revenue from electrified parts is expected to roughly double to Y1,000bn ($9.1 billion) by fiscal year 2025. Yasushi Matsui, chief financial officer of Japan Denso, said the company aims to double that number by fiscal year 2030.
Japan's Ministry of economy, Trade and Industry will increase subsidies for electric vehicles, plug-in hybrids and fuel cell vehicles; the report did not specify the source. The Ministry of economy, Trade and Industry will seek a budget of 33.5 billion yen for the 2022 fiscal year, twice the budget for the current fiscal year; details will be worked out later, but the department is considering raising the level of subsidies to bring prices in line with gasoline cars. The government currently provides a subsidy of up to 600000 yen per electric vehicle, while the subsidy for plug-in hybrid vehicles and fuel cell vehicles is 300000 yen and 2.5 million yen respectively.
Japan plans to increase subsidies for the purchase of electric vehicles. Japan's Ministry of economy, Trade and Industry will increase subsidies for electric vehicles, plug-in hybrids and fuel cell vehicles, according to the Nikkei report, which did not specify the source. The Ministry of economy, Trade and Industry will seek a budget of 33.5 billion yen for the 2022 fiscal year, twice the budget for the current fiscal year; details will be worked out later, but the department is considering raising the level of subsidies to bring prices in line with gasoline cars. The government currently provides a subsidy of up to 600000 yen per electric vehicle, while the subsidy for plug-in hybrid vehicles and fuel cell vehicles is 300000 yen and 2.5 million yen respectively.
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