Daily Report 280617 2017-06-28

Zinc and Lead

Overnight LME Zinc and Lead continued rally. LME Zinc closed at $2750. LME Lead closed at $2285. Shanghai Zinc and Lead went strong following overseas fluctuation, continued upward tendency. LME Zinc inventory decreased 1300 tons to 299875 tons. LME Lead inventory increased 150 tons to 170575 tons. LME Zinc actuals premium is $0.25. LME Lead discount is $13.25. Actuals is relatively strong. Overnight US dollars index sharply dropped. Bulk commodity increased, and Zinc and Lead rallied. Meanwhile since global Zinc inventory continued in shortage, structural shortage will continue. Zinc price is relatively strong. As for operation, Shanghai Zinc and Lead continued strong tendency. Keep long tendency in short-term. Shanghai Lead is difficult to break high point. Reduce long position at high point.


Tuesday copper market continued upward tendency. Copper price reached the high point since early April; then rolled back partial increase. LME inventory yesterday decreased 4125 tons to 251000 tons. LME actuals discount narrowed $3.25 to discount $20. Totally, with the news of Free Port and BHP strike news, copper fundamental side begins to focus on supply tighten sign. With the end of consumption season, the bolster of consumption weakened. Domestic money policy still has no change, financial regulation and relatively tight money policy put stress on copper market. Keep short point of view in mid-term.

                                                                      Dong LV (Investment Certificate NO. TZ008452)