SHMET Spot Market Briefing 20100128-Aluminum

Date Jan 28 2010 13:57:32Source:SHMET

China’s spot aluminum is quoted between RMB 16180 and 16220 per tonne, drop RMB 500, and trade from RMB 55 to 15 contango. Due to seasonal factors, some fabrication plants’ utilization of capacity have been lowered. Aluminum today followed copper, opening lower and consolidating at low levels. In contrast to preceding days, today’s spot market seems to be more active. The aluminum price will maintain consolidation on little upside incentive in the short term.

“The plunge today has a great impact on the market, as the cargoes have been sold out. The sales is particularly active.” A Shanghai-based trader told SHMET.

“I have sold 1500 tonnages with price at 16180 yuan. The transaction price decreased more than 500 yuan. I got much more enquiries.” Another trader said to SHMET. It’s reported that the falls in commodities market have boosted the buying interest.

SHMET Spot Market Briefing 20100128-Copper

Date Jan 28 2010 13:56:32Source:SHMET

Shanghai spot copper is quoted between RMB 57450 and 57750 per tonne, fall by RMB 1850 per tonne, with trading in the range of 100 contango and flat. The transactions were active. Overnight the news that rate will be kept at lower levels announced by Fed failed to cap the downside for the metal. The market focused on “Chinese factors” especially. The fears in the market over Chinese monetary tightening and selling-off from the bulls hit the market strongly. However the spot market is pretty active due to much buying interest on dips for feeding demand ahead of New Year.

“The copper price has slipped to the lowest level since the end of last year and so the buying sentiment was inspired. Both demand and supply are in healthy conditions.” A trader told SHMET.

“The contango for India Copper is quoted at 100 yuan per tonne. The products had been sold out before 11 o’clock.” Another trader in Shanghai said to SHMET. The sentiment in the spot market was fueled by the deeply falls in copper prices in the morning.

SHMET Spot Market Briefing 20100127-Nickel

Date Jan 27 2010 13:55:25Source:SHMET

China’s spot nickel is quoted from RMB 140000 to 141000 per tonne today, flat. After LME Nickel rallied overnight, Chinese traders hold steady attitude on the metal. Few transactions for lower-grade products took place in the morning, parts of traders are sidelined due to unchanged Jinchuan Group’s price. The price gained marginally today.

“We sold almost 10 tonnes of Jinchuan Nickel at 141000 yuan in the morning, and no transactions for Import Nickel. I heard that other companies’ business is also quiet. The sales is poor, when the price moves are too stable.” A Shanghai-based trader said to SHMET.

“We don’t want to make any offers today, awaiting Jinchuan Group adjust its prices.” Another trader in Shanghai told SHMET.

SHMET Spot Market Briefing 20100127-Tin

Date Jan 27 2010 13:54:48Source:SHMET

China’s spot tin are quoted between RMB 136000 and 137000 per tonne, down RMB 500 per tonne. Yun Tin is quoted at RMB 137000 per tonne, while others are quoted at RMB 136000 per tonne. Though London performed stable overnight, Chinese domestic market continued to go down with weaker sentiment. The availability of cargo is still low, which slow down the pace of downward.

“We sold 4 or 5 tonnes of Yun Tin in the morning with offer price at 136500 yuan. No cargoes have been booked yet. The prices get lower and lower, so our clients dare not buy. The sales is rather poor.” A trading source said to SHMET.

“The products of Yun Tin were sold above 137000 yuan. Not many cargoes are circulating in the market, but our transacted prices are much lower. We sold few cargoes in the morning with the price at 136000.” Another trader said to SHMET.

SHMET Spot Market Briefing 20100127-Zinc

Date Jan 27 2010 13:54:05Source:SHMET

Shanghai’s spot 1#Zinc products are quoted from RMB 18900 to 19000 per tonne, decrease RMB 250 per tonne, with trading from RMB 550 to 450 contango. 0#Zinc products are quoted between RMB 18950 and 19050 per tonne, dip RMB 250, and the contango was between RMB 500 and 400.SHFE Zinc traded in a narrow range at lower levels. The quotes from the market were still mixed, whilst traders’ attitude was more prudent.

“Though the futures moved steadily, not a same pattern as yesterday, it maybe temporary. With more and more monetary tightening policies currently, it’s difficult for the metal to rally at present.” A trader in the market said to SHMET. Both prices action and transactions are disappointing.

“Looking at the falls in prices, we have understand that the metal has a strong correction. The sales is still sluggish, as not many dealings are taking place when the holiday break gets closer. The whole volume is not large. We have sold almost 40 tonnages today.” Another trader told SHMET.