SMM Evening Comments (Dec 29)

SHANGHAI, Dec 29 (SMM)－Nonferrous metals were firm overall with SHFE aluminium leading the gains at over 2% and tin at over 1%. Both nickel and zinc rose close to 1% while lead edged down slightly.  

The ferrous complex was mixed with iron ore jumping over 3% and coking coal up 1.4%. Coke, on the other hand, dived in the afternoon trading session and closed lower.  

There is no night trading session today due to the New Year’s holiday.

Copper: The SHFE copper contract was stable today following 15 consecutive days of rise as shorts put pressure on the market.

Tin: The upper pressure for SHFE tin is seen at 146,000 yuan/mt and we expect the contract to stay rangebound in the near term.

Zinc: Fund outflows remained the feature on the last trading day of 2017 for SHFE zinc as investors were risk averse. 

Nickel: Little news on the macro level is setting the direction for nickel.

Lead: SHFE lead has traded around the 10-day moving average but under the pressure at 19,300 yuan/mt. 

Aluminium: Aluminium price is expected to stay firm next week due to the SHFE-LME ratio movement. 

For editorial queries, please contact Daisy Tseng at daisy@smm.cn 
For more information on how to access our research reports, please email service.en@smm.cn