SMM Metals Reports

SHFE Zinc Prices Close with Gains (Sept. 18, 2014)

Sep 18, 2014 13:32 GMT   Source:SMM
Tags: zinc prices
SHANGHAI, Sept. 18 (SMM) – SHFE 1411 zinc contract prices opened low at RMB 16,265/mt on Wednesday evening, then fluctuated between RMB 16,300-16,370/mt, and closing at RMB 16,330/mt, down RMB 15/mt or 0.09%. Trading volumes decreased by 231,644 to 202,600 lots, and total positions increased by 620 to 164,004 lots.
SHFE 1411 zinc contract prices opened at RMB 16,330/mt on Wednesday, then dipped to an intraday low of RMB 16,235/mt, and closing at RMB 16,250/mt, down RMB 95/mt or 0.58%. Trading volumes decreased 274,636, to 387,446 lots, and total positions decreased by 4,622 lots to 158,762 lots. SHFE 1411 zinc contract prices should have little room to fall. 

SHFE Zinc Prices Close with Gains (Sept. 17, 2014)

Sep 17, 2014 14:34 GMT   Source:SMM
Tags: zinc prices
SHANGHAI, Sept. 17 (SMM) – SHFE 1411 zinc contract prices opened at RMB 16,235/mt on Tuesday evening, then edged up with LME zinc prices, touching as high as RMB 16,590/mt after a large number of shorts left the market. SHFE 1411 zinc contract prices hovered around RMB 16450/mt at the end of trading, and closing at RMB 16,460/mt, up RMB 175/mt or 1.07%. Trading volumes increased by 187,624 to 434,224 lots, and total positions increased by 12,134 to 178,932 lots.
SHFE 1411 zinc contract prices opened at RMB 16,460/mt on Wednesday, then dipped to an intraday low of RMB 16,355/mt, and moved between RMB 16,400-16,450/mt later the day, and closing at RMB 16,425/mt, up RMB 140/mt or 0.86%. Trading volumes increased 197,196, to 662,082 lots, and total positions decreased by 3,414 lots to 163,384 lots. SHFE 1411 zinc contract prices should shed early gains as LME zinc prices fall.

Aluminum Prices in South China Rally; Demand Picks Up (Sept. 17, 2014)

SHANGHAI, Sept. 17 (SMM) – SHFE aluminum rallied, improving sentiment in south China market. Sellers demanded higher offers. Traders showed high buying interest, while downstream producers bought in small amounts. Most deals closed between RMB 14,440-14,460/mt.     

SMM Zinc Market Morning Review (2014-9-17)

Sep 17, 2014 02:50 GMT   Source:SMM
Tags: zinc prices
SHANGHAI, Sept. 17 (SMM) – LME zinc prices opened low at USD 2,264/mt overnight, then moved between USD 2,240-2,270/mt during Asian and European trading hours. US August PPI remained flat at July’s, helping ease market concerns over an earlier interest rate hike by the Fed. This pushed down the US dollar index to a two-week low. When combined with rumors that China will execute RMB 500 billion in standing lending facility, LME zinc prices soared to USD 2,308/mt, and closing at USD 2,299.75/mt, up USD 42.75/mt or 1.89%. Trading volumes increased 2,964, to 12,609 lots, and total positions decreased by 6,682 to 323,588 lots. LME zinc inventories fell 300 to 754,725 mt.
SHFE 1411 zinc contract prices opened at RMB 16,235/mt on Tuesday evening, then edged up with LME zinc prices, touching as high as RMB 16,590/mt after a large number of shorts left the market. SHFE 1411 zinc contract prices hovered around RMB 16450/mt at the end of trading, and closing at RMB 16,460/mt, up RMB 175/mt or 1.07%. Trading volumes increased by 187,624 to 434,224 lots, and total positions increased by 12,134 to 178,932 lots.
A series of major economic indicators from Europe and the US are slated for release today. But the Fed’s policy meeting this Thursday will be the focus of markets. The market will also continue to absorb Premier Li’s address and news that China will input RMB 500 billion in SLF. LME zinc prices will fluctuate between USD 2,280-2,310/mt today, and SHFE 1411 zinc contract prices will move between RMB 16,400-16,550/mt, with spot premiums between RMB 100-150/mt against SHFE 1411 zinc contract prices.

SMM Copper Market Daily Review (2014-9-16)

Sep 17, 2014 01:48 GMT   Source:SMM
SHANGHAI, Sept. 17 (SMM) – The most active SHFE 1411 copper contract met resistance at RMB 48,500/mt after starting Monday’s night session at RMB 48,410/mt, and ended up RMB 190/mt at RMB 48,480/mt. During the night session, trading volumes for the most active contract totaled some 140,000 lots, and positions added by 928 lots.
On Tuesday, SHFE copper followed LME copper up to RMB 48,900/mt, and then hovered around RMB 48,700/mt, finding support at RMB 48,600/mt. The price of the red metal retreated slightly at the tail of the trading to close up RMB 420/mt, or 0.87%, at RMB 48,710/mt. Trading volumes for the SHFE 1411 copper contract shrank by 74,204 lots, and positions decreased by 2,970 lots.
Physical copper in Shanghai was quoted Tuesday at a RMB 140-250/mt premium to the SHFE 1410 copper contract. Traded prices were RMB 49,220-49,340/mt for standard-quality copper and RMB 49,280-49,420/mt for high-quality copper. After SHFE copper rose sharply on Tuesday, cargo holders pushed up physical premiums, but buyers considered prices too high. Some middlemen with abundant cash flows entered the market to buy as copper prices steadied by the midday, leaving trading better than Monday. Meanwhile, downstream producers bought only as needed, with transactions done mostly by middlemen.
As SHFE copper was subdued during the afternoon trading session, physical copper was mostly quoted at a RMB 170-300/mt premium and traded slightly higher at RMB 49,250-49,450/mt. Transactions were done mostly by middlemen on Tuesday, with decreasing supply in the market.