SHMET Spot Market Briefing 20100422-Lead

Date Apr 22 2010 14:18:31Source:SHMET

China’s spot Lead is quoted between RMB 15600 and 15800 per tonne, flat. The negative impact from Goldman Sachs has temporarily faded, but weaker Euro depressed the LME overnight. LME Lead inched down today after getting some of gains Tusday. The transaction between traders was moderate. Both traders and buyers were more cautious, thus the volume decreased.

“ Recently We kept more stocks in the warehouse. Without acceptable price, we are unwilling to sell cargoes. Our offer-price was at RMB 15700 per tonne, up RMB 100. ” A trader said to SHMET.

“ Downstream buyers were worried that prices wouldl be on pressure again, thus they dare not to buy cargoes. The outlook for the market shows bullish. However, with huge consolidating in the short term, buyers still adopt a look-on attitude for the market. ” Another trader said to SHMET.

SHMET Spot Market Briefing 20100422-Aluminum

Date Apr 22 2010 14:17:18Source:SHMET

China’s spot Aluminum is quoted from RMB 16030 and 16070 per tonne, dropping RMB 10, with trading from RMB 250 to 210 contango. Chinese Central Bank announced yesterday that it will sell RMB 90 billions of three year bills. It is the second selling of bills following the first selling in 9th April. This measure has raised worries over market tightening.

“ The recent prices are rather sticky, and whether slight falls or rises have little effect on market trading conditions. The daily volume of our shipment is below 700 tonnes.” A Shanghai-based trader said to SHMET.

“ Our products were selling at 16040 yuan, while many downstreams tend to buy the dips. After the momentum on the LME has formed, Shanghai aluminum is expected to have further weak adjustment.” Another trader told SHMET.

Wuxi price is quoted from RMB 16030 to 16040 per tonne.

SHMET Spot Market Briefing 20100422-Copper

Date Apr 22 2010 14:16:52Source:SHMET

Shanghai spot Copper is quoted between RMB 59800 and 60100 per tonne, up RMB 200, with trading from RMB 350 to 200 contango. The cancellation of warrant stocks has risen to 4.18% from 2% earlier, which boosted the outlook of demand growth. However the situation of stocks in Asia is still not positive with cancellation decreasing to 0.74%. Uncertainties over European debt issue also makes copper prices keep range bound.

“ Nowadays, SHFE movements are relatively stable, but sentiment is not very optimistic. Not many traders want to stockpile, and we want to dump as many cargoes as I can. The market is in well supplied.” A trader told SHMET.

“ Products were selling around 59900 yuan per tonne, and the volume almost reached 500 tonnes. Though much information has a negative impact on metal actions, I still think copper is likely to strengthen soon as bearish factors faded and some signs of adjustment in USD.” Another trader said to SHMET.

SHMET Spot Market Briefing 20100421-Nickel

Date Apr 21 2010 13:43:31Source:SHMET

China’s spot Nickel is quoted from RMB 186000 to 187000 per tonne, up RMB 1000. Jinchuan Nickel is quoted at RMB 187000 per tonne, while Import Nickel is quoted around RMB 186000 per tonne. Due to tight circulation of spot products and active transaction between traders and investors, the transaction was pretty good in the AM session.

“ Jinchuan Nickel was quoted at RMB 187000 per tonne, with boomed volume. Since transaction between traders and investors showed more active, the stocks traders kept was not sufficient. Thus the price was inch up today. ” Another trader said to SHMET.

“ Due to arbitrage activities from investors on the LME, the demand for spot Nickel showed stronger. As the circulation of spot products is tight, many traders tend to keep stocks.” Another trader said to SHMET.

SHMET Spot Market Briefing 20100421-Tin

Date Apr 21 2010 13:43:07Source:SHMET

China’s spot Tin is quoted between RMB 145000 and 147000 per tonne, up RMB 250. Yunnan Tin is quoted around RMB 147000 per tonne, while other products are quoted at RMB 145000 per tonne. Since LME Tin posted a marginal gain overnight, traders sold cargoes in normal and buyers bought cargoes according to their demand. However there is still very much wait-and-watch scenario in the market. The transaction was prettu thin in the AM session.

“ 1# Tin was quoted at RMB 146000 per tonne, with moderate volume. With steady price, there was little downside momentum seen in the short term, thus we aren’t anxious to selling cargoes. ” A trader said to SHMET.

“ Yunnan Tin was quoted at RMB 146500 per tonne, but no large volume was emerged. Most buyers adopt a look-on attitude for the market and the transaction between traders was fragile. The market was still in a weak tone.” Anohter trader said to SHMET.