SHMET Spot Market Briefing 20100406-Aluminum

Date Apr 06 2010 13:32:16Source:SHMET

China’s spot Aluminum is quoted from RMB 16140 and 16180 per tonne, increasing RMB 110, with trading from RMB 270 to 230 contango. SHFE Ali positions continued to increase in the cause of upward movements. The future has stand above short-term MA, showing that bulls’ stronger confidence and bullish sentiment. I reckon that the metal might have further gains.

“ The market transaction is improving evidently, as prices offered by traders are firm as well as gradually increasing demand. We have sold nearly 800 tonnes of materials.” A Shanghai-based trader said to SHMET.

“ Though SHFE Ali rallied off the bottom, the metal is underpinned by cost and LME Ali. The growing demand from the downstream can not offset the market stock pressure. We feel that the domestic aluminum can hardly form the sustained surging, and there is not a lot of room for the rise.” Another trader told SHMET.

Wuxi prices are quoted between RMB 16150 and 16170 per tonne.

SHMET Spot Market Briefing 20100406-Copper

Date Apr 06 2010 13:31:29Source:SHMET

Shanghai spot Copper is quoted between RMB 61700 and 62100 per tonne, up RMB 900 per tonne, with trading from 450 to 250 contango. Due to close to next week’s delivery date, the recent spot traders chose to deliver on settlement date rather than sell with contango now, which caused the tightened supply side. The situation is likely to continue in the rest of the week, and therefore the copper is well supported.

“ The market is generally bullish now, and traders are more unwilling to selling. While the buying sentiment from the downstream is relatively positive, the contango is beginning to narrow as a result. The contango of some higher-graded copper is almost reaching 250 yuan.” A trader said to SHMET.

“ Our copper is selling around 62000 yuan per tonne today, sales not bad. SHFE Copper has challenged the highs of earlier Jan. In terms of the recent market environment and the situation of stock consumption, we are bullish toward the near future copper market. I think the metal can remain consolidations on the upside.” Another trader told SHMET.

SHMET Spot Market Briefing 20100402-Nickel

Date Apr 02 2010 13:38:36Source:SHMET

China’s spot Nickel is quoted from RMB 170500 to 171500 per tonne, down RMB 500. Jinchuan Nickel is quoted at RMB 171500 per tonne, while Import Nickel is quoted around RMB 170500 per tonne. Inch down on the LME and nearby Qingming holiday dampened the price in spot market. Most traders prefer to selling cargoes at lower price, however the buying sentiment was weak. Buyers adopt a look-on attitude for next Tuesday. The transaction was thin in the AM session.
“ As three-day vacation is coming, the price slipped a little. In order to avoid the potential risk, traders were more likely to sell cargoes. There was very much a watch and wait scenario for next Tuesday. ” A trader said to SHMET.

“ Today, London market was closed. We can’t forecast the momentum after three-day holiday in China. Thus traders lowered their price to sell cargoes leading to the lower prices seen. ” Another trader said to SHMET.

SHMET Spot Market Briefing 20100402-Tin

Date Apr 02 2010 13:38:06Source:SHMET

China’s spot Tin is quoted between RMB 140500 and 142000 per tonne, up RMB 500. Yunnan Tin and Yunshan Tin are quoted around RMB 142000 per tonne, while other products are quoted at RMB 140500 per tonne. Most buyers have bought cargoes below RMB 140000 per tonne earlier so that the transaction was pretty fragile today. Due to Western Easter and China Qingming Festival holiday, there is no large volume emerging.

“ We sold 8 tonnes of Yunnan Tin from RMB 141500 to 142000 per tonne, and other products were completed at RMB 140500 per tonne, about 5 tonnage. Compare with transactions a few days ago, the volume was lower. ” A trader said to SHMET.

“ With thin transaction, there was no Yunnan Tin completed today. We just sold 6 tonnages at RMB 140500 per tonne. As some traders had gone home after noon, I estimated that it would be no change in the PM session.” Another trader said to SHMET.

SHMET Spot Market Briefing 20100402-Zinc

Date Apr 02 2010 13:37:26Source:SHMET

Shanghai 0#Zinc is quoted between RMB 18350 and 18450 per tonne, up RMB 50 per tonne, with trading from RMB 870 to 770 contango; 1#Zinc is quoted between RMB 18300 and 18400 per tonne , up RMB 50 per tonne, with trading from RMB 920 to 820 contango. Strong economic data and LME market yesterday couldn't have much effect on the SHFE Zinc, as it was difficult to go up. The environment of the spot trading is always nice at weekend.   

" The Zinc price is much stronger in the overseas market and weaker in the domestic market, while the contango has gone up to RMB 1000 per tonne, but the sales is good, we have sold out all the stocks of Dongling Zinc today." Some Zinc trader said to SHMET in the morning.

" The sales at weekend is always better than usual. Tomb-sweeping Day is coming, and many factories come to purchase the goods for operation, so the sales is nice." Another Zinc trader said to SHMET.