SMM Metals Reports

SHFE Copper Finishes with Gains (Feb. 27, 2015)

SHANGHAI, Feb. 27 (SMM) –Rising LME copper allowed SHFE 1505 copper contract to open Thursday night session higher at RMB 42,810/mt. The most active contract vacillated within a RMB 200/mt range as caution dominated, and ended RMB 560/mt higher at RMB 42,750/mt. Trading volumes were about 190,000 lots, with positions up 1,780.
 
On Friday, May copper on the SHFE fell to RMB 42,450/mt, but then rebounded to close up RMB 540/mt or 1.28% at RMB 42,730/mt. Trading volumes of SHFE 1505 copper contract surged 116,000 lots, with positions up 21,072. Buying cooled after the red metal approached the 60-day moving average, but hopes for stimulus measures in the upcoming NPC & CPPCC meetings should offer rising impetus. 

SMM Nickel Market Daily Review (2015-2-17)

SHANGHAI, Feb. 25 (SMM) –SMM #1 refined nickel was offered between RMB 106,200-106,400/mt on February 17. Trading ground to a halt as most market players had closed for holiday. 

US Shredded Scrap prices expected to fall further in February

United States shredded scrap prices are expected to fall further in February as a perfect storm of a strong US dollar, low oil and iron ore prices along with increasedfinished steel imports.
According to TSI, US participants felt the declines seen in late January were only the tip of the iceberg and this has since been proven correct, with shredded prices falling between $80-100 a long ton in early February.
February scrap purchases had still not been concluded, with some mills reportedly not in the market at all. Participants state not all scrap inventory will be shifted to mills, which could mean further weakness heading into March.
However, Aluminium, brass, copper , steel and stainless steel, zinc , lead and electronic scrap prices were last traded flat as on Scrap Register US Price Index on Thursday, while nickel , hallmarked and non-hallmarked scrap gold traded down.

China Zinc Market Sees Light Trading ahead of Chinese New Year Holiday, SMM Says

SHANGHAI, Feb. 13 (SMM) – Trading in China’s domestic zinc market came to a standstill as market players exit the market for the upcoming Chinese New Year holiday, Shanghai Metals Market’s survey shows.  
Market supply fell due to tight transportation capacity during the holiday period, while downstream pre-holiday stock replenishment was also limited, according to SMM survey. 
Domestic zinc alloy producers in Henan, Guangdong, Jiangsu and Zhejiang also closed production for the holiday, and tight liquidity conditions cast a shadow over their outlook for post-holiday market.   

Investors Should Be Wary of Possible Declines in Gold Market, SMM Interviews

SHANGHAI, Jan. 21 (SMM) – Bullish sentiment is prevailing in the gold market, with prices now lurching higher to $1,300/oz. 
 
The gold market has a strong start of 2015 due to strong safe-haven demand, position building by some institutes, and robust physical demand in China and India.  
 
“An upward momentum is still technically available, but downward risks are also possible,” an analyst from Zhaojin Futures said in a most recent SMM survey.  
 
Uncertainties over risky events in Europe, including fresh monetary easing policy and political woes in Greece, have already gave a strong boost to current gold prices, and the market, surging $130/oz since the beginning of 2015, is overbought to some extent, the analyst added.