TOBO International Trading(Shanghia)Co.,Ltd Tianda Oil Pipe Co., Ltd
TOBO Pipeline Equipment Co.,Ltd TPCO & TISCO Pipe(Tianjin)Co.,Ltd.
April 27, 2018
SHANGHAI, Apr 25 (SMM) – Nonferrous metals fell across the board on Wednesday April 25 except for SHFE copper. SHFE zinc dropped over 1%, lead lost 0.76%, tin and aluminum edged down and nickel dipped.
The ferrous complex also fell, except for rebar. Iron ore dropped 1.58%, coking coal slid 1.44% and hot-rolled coil and coke dipped.
Copper: As the US dollar gained, the SHFE 1806 contract hovered below the daily moving average and traded weakly today. It touched the 60-day moving average above with support at 51,500 yuan/mt. We see it testing support at that level tonight. Investors will take guidance from LME copper tonight.
Aluminium: SHFE aluminium traded rangebound and closed at 14,405 yuan/mt. Due to uncertainties in the international market and pressure from domestic fundamentals, it is likely to remain rangebound in the short term as investors adopt a cautious stance.
Zinc: After a slight gain in the day, the SHFE 1806 contract slid and dipped further as LME zinc inventories surged some 28,150 mt in the afternoon. Weighed down by pessimistic sentiment, the contract is likely to fall with support at 24,000 yuan/mt tonight.
Nickel: The SHFE 1807 contract traded rangebound below the daily moving averages as nonferrous metals performed weakly during the day. We see the KDJ expanding downwards and many moving averages overhead. We expect SHFE nickel to remain rangebound tonight. Tonight, the market will await data from the Energy Information Administration (EIA) on crude oil inventories.
Tin: SHFE tin registered a third consecutive day of losses as it fell below all moving averages to close at 146,100 yuan/mt today. With pressure from the 20-day moving average and as the KDJ indicator expands downwards, SHFE tin is likely to weaken further tonight. Support is seen at 145,000 yuan/mt below.
Lead: The SHFE 1806 contract lost support at the 10-day moving average and fell to a low of 18,215 yuan/mt as SHFE zinc weakened. It is likely to see thin trades with pressure from shorts tonight.