[2019.10.24 Nickel Internal Morning meeting Summary] tightening of Pure Nickel deliverables and increase in Nickel-Iron supply are expected to fluctuate near the 130000 gate of nickel prices in the near future.

Macroscopically, the dollar index fell yesterday and fluctuated narrowly in Asia on Wednesday as changes in Brexit put pressure on the pound, providing support for the dollar and opportunities for a further rebound in the short-term exchange rate. British Prime Minister Johnson's efforts to lead Britain's formal Brexit failed within nine days. The House of Commons rejected Johnson's fast-track timetable for the Brexit implementation Act by a vote of 322 to 308. Britain is likely to postpone the Brexit process. There are relatively few economic data and events within the day. Markets are generally concerned about Thursday's economic data from Europe and the United States and the European Central Bank interest rate resolution. The market has also priced the Fed's interest rate cut next week.

Nickel price judgment: the early Indonesian mining ban news caused by the increase has been partly returned, and the end of August news has been completely implemented after the increase has been basically all back, the recent price trend is mainly related to the long-short game around deliverables. The increase in Nife's return resources is a potential negative, but considering its replacement with pure nickel, it remains to be seen whether the overall fundamental situation will deteriorate significantly in the end. The majority of operators believe that the nickel price has not yet been completely reversed, in the short term we think it is still the mood and game pricing stage, the price is dominated by interval volatility. Lunni closed in the long lower shadow line small positive line, K column stands above the 5-day moving average, the upper 10 / 60 moving average crossing resistance is strong, today pay attention to the resistance of 16700 US dollars / ton pass. Overnight Shanghai nickel closed in the small yang line, completely standing above the 5-day moving average, the whole closed above the 60-day moving average, pay attention to the top 132000 yuan / ton first-line pressure today.

Nickel spot: on October 23, Russian nickel reported 150 yuan / ton higher than Shanghai nickel 1911, and Jinchuan nickel generally increased 200-400 yuan / ton compared with Shanghai nickel 1911 contract. Russian nickel Jinchuan rising water continues to decline, mainly due to the recent Shanghai nickel and Wuxi nickel price difference, stimulate steel mills have no tin plate to purchase nickel beans, nickel plate demand has been significantly suppressed. Due to the price gap between the two cities is still large, this phenomenon is expected to continue in the near future, mainstream traders are quoted nickel in Shanghai, Shanghai spot market trading is very light. Superimposed nickel prices due to last night's Norilsk nickel industry accident rebounded, although there is a decline today, but the overall increase is still large, restraining spot trading. The ex-factory price of Jinchuan Company is 131900 yuan / ton, 2400 yuan / ton higher than yesterday. In the afternoon nickel prices continue to fluctuate around 132200, the spot market response is mediocre, trading continues to be weak.

Nickel pig iron: SMM high nickel pig iron (ex-factory price) is 1140-1160 yuan / nickel point, which is 30 yuan / nickel point lower than that of the previous day. The inquiry price of a stainless steel factory in South China is 1150 yuan / nickel point (including tax). The inquiry has not yet been completed, and part of the nickel pig iron factory in the market leaves the factory at 1150 yuan / nickel point. Stimulated by the news, bullish confidence increased, nickel prices rebounded sharply today, the price of high-nickel pig iron failed to follow the nickel price, still maintained a weak decline, mainly due to the difference between nickel and nickel-iron fundamentals. Market participants believe that although the nickel price has rebounded, it is difficult for the price of high-nickel pig iron to rise sharply in the short term.

Eramet, a French miner and metals producer, said on Wednesday that its WedaBay nickel plant in Indonesia would start production early in the first half of 2020. The company aims to produce 30000 tons of nickel per year in WedaBay. Eramet had previously said WedaBay would start work early, but did not give a specific time. The company said in September that it would start production in the second half of 2020 and reach full capacity in 2021.

Stainless steel: October 23 Wuxi area quotation: state 3042B cut edge volume price 1605016250 yuan / ton, private 3042B rough edge volume price 1580015900 yuan / ton. 304 / NO. 1 five feet at 14950-15050 yuan / ton. Morning market quotation is mixed, generally reflect the recent transaction light, October demand is slightly lower than September, although nickel prices rise, agents and traders are cautious quotation shipment. For 10:30 SHFE SS2002 contract selling price 14965 yuan / ton, Wuxi stainless steel spot water 705-805 yuan / ton (spot edge cutting = rough edge + 170 yuan / ton)

According to market news, this week Yang Jianghongwang 304 cold rolling new resources into the Foshan market. Among them, the base price of 304 2B 1.95 thickness is quoted at 15250 yuan / ton, and some agents are already shipping.