In terms of the metal market:
As of the midday close, the domestic base metals rose across the board. Shanghai nickel rose 1.96%, Shanghai tin rose 1.85%, and Shanghai copper rose 1.1%. Shanghai zinc rose 1%. Shanghai aluminum and Shanghai lead both rose slightly. The main alumina futures rose 0.8%. In addition, the main industrial silicon contract fell 0.04%. The main lithium carbonate futures contract rose 1.1%.
The black series were all red, iron ore rose 3.36%, thread and hot coil rose 1.54% and 1.53% respectively, and stainless steel rose 1.04%. In terms of double coke, coking coal rose 2.65% and coke rose 2.55%.
In terms of external metals, as of 11:43, LME metals rose recently. London aluminum and London zinc fell within 0.5%. London nickel, London copper, London lead and London tin all rose, and the increase was within 0.5%.
In terms of precious metals, as of 11:43, COMEX gold fell 0.02%; COMEX silver rose 0.09%. In terms of domestic precious metals, as of the close at noon, Shanghai gold fell 0.95%, and Shanghai silver rose 0.33%.
In addition, as of noon closing, the main futures of European line container shipping were reported at 2392.9 points, up 5.21%.
As of 11:43 on April 18, some futures noon quotes:
Spot & Fundamentals
Copper: Today, Guangdong 1# electrolytic copper spot to the current month contract discount of 180 yuan/ton-120 yuan/ton, the average discount of 150 yuan/ton compared with the previous trading day, the same as the previous trading day, wet copper discount of 260-220 yuan/ton, the average price discount of 240 yuan/ton compared with the previous trading day. The average price of Guangdong 1# electrolytic copper was 76,740 yuan/ton, up 500 yuan/ton from the previous trading day, and the average price of wet copper was 76,650 yuan/ton, up 500 yuan/ton from the previous trading day. Spot market: Guangdong's inventory has declined for 2 consecutive days, and the decrease in arrivals and the increase in shipments are the main reasons......
Macroscopic
Domestic:
The State Council Information Office held a press conference today to introduce the development of industry and information technology in the first quarter of 2024. Shan Zhongde, vice minister of the Ministry of Industry and Information Technology, said that industrial investment increased by 13.4% in the first quarter, the number of industrial enterprises above the designated size continued to increase, and the manufacturing purchasing managers' index (PMI) rebounded to the boom range in March, reaching 50.8%. In the first quarter, the industrial added value of small and medium-sized enterprises above designated size increased by 7.4% year-on-year, and it can be said that the industrial economy empowered by multiple factors continued to improve.
Tao Qing, spokesman of the Ministry of Industry and Information Technology and director of the Operation Monitoring and Coordination Bureau, said at a press conference of the State Council Information Office on the 18th that in the next step, the Ministry of Industry and Information Technology will take the deep integration of artificial intelligence and manufacturing as the main line, intelligent manufacturing as the main direction, and scenario application as the traction, promote the intelligent transformation of the manufacturing industry, empower the industrial manufacturing system at a high level, and provide new momentum for high-quality development. Accelerate breakthroughs in key technologies based on artificial intelligence, and consolidate the foundation of application empowerment. Focusing on the underlying technologies of large models such as algorithms and computing power, accelerate the breakthrough of basic key core technologies and products such as intelligent chips, large model algorithms, and frameworks, accelerate the deployment of intelligent IoT terminals and industrial clouds, improve the ability of computing power supply, operation and management for the manufacturing industry, guide ecological enterprises to accelerate the creation of general large models with global competitiveness, cultivate industry large models for manufacturing scenarios, build high-level industrial databases, and stimulate the value of industrial data elements.
Zhao Zhiguo, spokesman and chief engineer of the Ministry of Industry and Information Technology, introduced at a press conference of the State Council Information Office on the 18th that as of the end of March, a total of 3.647 million 5G base stations had been built across the country, the penetration rate of 5G users had exceeded 60%, and the number of ports with gigabit network service capabilities had reached 24.56 million, and the world's first 400G all-optical inter-provincial backbone network link was officially put into commercial use. As we all know, the fastest or highest transmission speed in the world is 400G, and we have now opened a 400G link for commercial use, so as to better support the efficient interconnection and interconnection of computing power and data elements across subjects, types and regions.
On April 18, the central parity of the RMB exchange rate in the interbank foreign exchange market was 7.1020 yuan per US dollar per dollar
On the US dollar:
After closing with a decline of 0.4% in the previous trading day, the dollar index continued to fall on the 18th, and as of 11:43, the dollar index was at 105.86, down 0.08%. The "Beige Book" of economic conditions released by the Federal Reserve on Wednesday (April 17) local time showed that U.S. economic activity has "expanded slightly" in recent weeks, and companies say that it is becoming more difficult to pass on costs. Consumer spending has been uneven across regions, with little to no growth overall, the report says, "and several of the reports mention that spending on consumer discretionary has weakened as consumer prices continue to become more sensitive." "Another recurring sign is that in recent months, companies have significantly diminished their ability to pass on cost increases to consumers, leading to a decline in corporate profit margins." Cleveland Fed President Mester said she expects price pressures to ease further this year, allowing the Fed to lower borrowing costs, but only if she is "very convinced" that inflation is continuing to move toward its 2% target.
In terms of other currencies:
【DBS: Japan, South Korea and U.S. Statement Boosts Possibility of Joint Market Intervention】Chang Wei Liang, FX & Credit Strategist at DBS Research, said that previous statements by the finance ministers of Japan, South Korea and the United States may be aimed at controlling the foreign exchange market and raising the possibility that the three countries may jointly intervene in the market if the yen and South Korean won weaken further against the dollar. Acknowledging serious concerns about the recent sharp weakening of the yen and South Korean won, the statement affirmed that the three countries will hold close consultations on foreign exchange issues. He also said that the addition of the U.S. Treasury Department is noteworthy. DBS' modelling shows that the USD/JPY level, which is associated with significant intervention risks, has now risen to 156.00.
ECB Governing Council member Centeno, said the bank will set monetary policy according to the situation in the eurozone, rather than following the United States. Centeno said it would be the ECB's job to cut interest rates if it had to decide to cut interest rates by observing inflation and economic conditions in the eurozone. The ECB is not staring at the United States and what the United States does. If the Fed had acted differently, it would have been because the Fed was facing a different economy. He said officials should not be overly concerned about service inflation, which is falling more slowly than other inflations. Wages, a major concern in recent months, are rising at a slower-than-expected pace.
In terms of data:
[Swift said that the proportion of international payments in the yuan climbed to a new high of 4.7% in March] Transaction data compiled by the Society for Worldwide Interbank Financial Telecommunication (Swift) shows that the share of the yuan in international payments is increasing, while the share of the euro continues to decline. The share of transactions involving the renminbi rose to 4.7% in March, the highest level since Swift established a new benchmark in July last year. Last month, the euro's share fell below 22%, down from 24.4% when Swift launched a new benchmark. According to Swift data, the yuan has become the world's fourth-most traded currency since November last year, surpassing the yen for the first time since 2022.
Pay attention to today's data such as Australia's seasonally adjusted unemployment rate for March, Switzerland's trade balance for March, Eurozone's seasonally adjusted current account for February, the number of initial jobless claims in the United States for the week to April 13, the Philadelphia Fed manufacturing index for April, the annualized total number of existing home sales in March, and the conference board's leading indicator monthly rate for March. In addition, pay attention to the speech of Federal Reserve Governor Bowman, the speech of FOMC permanent voter and New York Fed President Williams, the United Nations Security Council held a ministerial meeting on the Middle East, and the 2024 FOMC voting committee and Atlanta Fed President Bostic delivered a speech on the economy.
Crude oil: Crude oil futures rose on Wednesday, as of 11:43, U.S. oil rose 0.27%, and Brent oil rose 0.31%. Earlier, the United States said it would reinstate sanctions on Venezuela's oil and gas sector, while the European Union said it would impose new restrictions on Iran.
"Despite the easing of tensions in the Middle East, ongoing supply risks should help support commodity markets, with improved risk appetite allowing some buying to return to the commodities space," ANZ Research noted in a note. Venezuela exported 600,000 b/d of crude in the first quarter, of which 165,000 b/d went to the United States, ANZ Research said.
The U.S. Energy Information Administration (EIA) report released on Wednesday showed that U.S. crude oil inventories rose last week, but gasoline and distillate inventories decreased. U.S. crude inventories rose by 2.7 million barrels to 459.99 million barrels in the week ended April 12, close to double analysts' estimates of an increase of 1.4 million barrels, the data showed. U.S. gasoline inventories fell by 1.2 million barrels to 227.38 million barrels for the week, compared to analysts' expectations of a decline of 900,000 barrels, the data showed. Distillate inventories, which include heating oil and diesel, fell 2.8 million barrels to 114.97 million barrels, compared to analysts' expectations of a decline of 300,000 barrels.