Construction Information (11.17): Copper and Aluminum
The "Risk Warning" section of the journal aims to describe the risk of long and short positions through the icon of the star flag. It can be used as a reference for investors when dealing with open positions. In practice, investors need to trade according to their own short-term lines. Different strategies and different varieties of fluctuations in the characteristics of a specific grasp. The specific star classification criteria are as follows: ☆ The reverse run range of new-year closing price may be less than 2%. ☆ ☆ The reverse run range of new-year closing price may be greater than 2%. ☆☆ ☆ The price range is reversed from the newer closing. The rate may be greater than 3%. ☆☆☆☆ The reverse run of the period from the newer closing may be greater than 4%. ☆☆☆☆☆ The reverse run of the period from the newer closing may be greater than 5%. Risk Warning: Bulls: ☆ Short Risks: ☆ Tips before the market: Orient: Copper: Affected by selling funds, yesterday's copper prices in LME fell sharply in March, and once hit an intraday high of $2920, and then the price of short coverings rebounded. Finalized at 2,958 US dollars / ton, compared with the previous trading day down 47 US dollars / ton, fluctuations in the range of 3008 ~ 2920.5 US dollars / ton. As the market rumors that the Chinese government will sell a large amount of spot copper, the domestic Shanghai copper fell sharply yesterday, closing all closed at the limit. Due to the strong domestic demand for spot products in China, the domestic spot price has continued to be firm, once again returning to the price before the national regulation at the beginning of the year. If the Chinese government sells a large amount of spot copper, it will inevitably have a huge impact on domestic and international copper prices. In the near future, the spot fundamental situation It is worth noting that once the Chinese government really sells spot copper in large quantities, copper prices are likely to follow the same trend in mid-October. The domestic spot price dropped sharply yesterday to 31350~31500 yuan/ton, and the operation should be based on the short-term trading of the day. Aluminium: LME March aluminum exhibited a volatile trend yesterday and closed at 1799.5 US dollars/ton more than last month. It was up 3 US dollars/ton from the previous day. The decline in aluminum stocks made aluminum prices slightly stronger than copper yesterday. Yesterday, the domestic Shanghai Aluminum suffered a sharp decline due to the impact of the sharp decline in copper prices, but it was clearly caused by the panic. The short-term aluminum price support was at the level of 15,400 yuan. The domestic spot price also fell slightly yesterday, reported 15570 ~ 15590 yuan / ton. Overseas express delivery: LME market report: London November 16 news: The London Metal Exchange (LME) base metals mostly closed down on Tuesday, traders said that the Asian copper market's technical selling target and the London and New York markets. "London and New York It was affected by the emergence of selling in the Asian market, but the decline was limited. Due to fundamental factors such as tight supply and stable demand, the market remained the center of attention. A trader said. British businessman Barclays Capital International said in the research report, "All The basic metals market is in short supply. We expect metal prices will continue to be well supported in the short term, due to strong seasonal demand, inventories have fallen from already extremely low levels, and China's demand has continued to flourish." Affected by the fund selling pressure, LME three Copper prices closed sharply lower on the 16th. Due to market rumors that the Chinese government will sell a large amount of spot copper, the Shanghai copper futures will be sealed to the daily limit. Previously, due to the tight supply of copper in Shanghai, LME copper rose to over US$3,000/ton. China’s investors are considered to hold a large number of long contracts. However, if the Chinese government sells spot copper, it will lead to a significant increase in China’s copper supply. LME three-month copper fell to a low level since 11 trading days on Asian trading on the 16th, followed by a rebound in technical buying, but the final price still fell. Traders said that if the US dollar fails to rebound sharply, LME copper may still face long positions in the next three to four weeks. Many market commentators expect copper to rebound in the period as copper inventories are still low and supplies of Chilean El Abra copper mine are being cut short. The Chilean union stated that the output of the El Abra copper mine had dropped by 35%-40%, and the company said that the output was not affected by the strike. LME three-month aluminum also fell on the 16th, testing support at 1780 US dollars / ton, but the decline is not expected to be copper. “During the period, zinc is thriving, but due to the fact that it has been underperforming, there is still huge potential for zinc price increase.†“But its market situation is starting to improve significantly as inventory continues to decline and China may become a net importer of refined zinc.†Three-month copper The closing price was $2,944 per ton, which was lower than the Monday night's composite trading closing price of 3,004, but it was detached from the earlier hit low of 2,920.50. The spot/three-month reverse spread was expanded from $105 to $125. Three-month zinc rose by $6. , to 1,125. From the earlier lows hit 1,097.50. Three-month nickel fell by 250 US dollars to 14,250. From the earlier low of 13,900, it recovered. COMEX copper market report: New York, November 16 news: Falling sharply by Shanghai copper Dragged down, the COMEX copper December contract fell on the 16th. The COMEX copper December contract closed at $1.3690/lb, down 1.85 cents. It once fell to $1.3520/lb during the session but triggered a rebound in low buying prices. The fund followed the Asian and London market declines and released some positions; after the data showed that the US producer price October index (PPI) unexpectedly rose 1.7%, the period of copper further extended the decline. Traders said that the market rumors that China’s copper supply may Not so tight as before, causing a large number of investors to open long positions, Shanghai copper so fell to the limit on that day. The fund is also in a long position to close out, but near the lower price point of COMEX copper, due to factors of supply and demand, it once again attracted cheap buying. Traders expect the COMEX copper futures contract in December to support at 1.34 USD/lb, while resistance is at 1.3970 USD/lb. On the 16th, copper inventories in London fell by 425 tons to 67,125 tons, and on the 15th, copper stocks in New York fell by 160 tons to 41,861 tons. December copper closed down 1.85 cents at $1.3690 per pound. Spot copper fell 1.75 cents to end at $1.4190 in November. Other monthly contracts fell 1.75 to 2.25 cents. The estimated volume was 12,000 contracts. Brokers said that investors withdrew from the December contract and that extending the March period would also dampen the price of the contract. Analysts said that the data supports the Federal Reserve’s continued interest rate increase.