Daily Report 091214 2014-12-09
The domestic main contracts of gold AU 1506 futures rushed high and fell back during the night session; short-term moving averages stick together between RMB 240-236. In operations, gold prices are unlikely to either rebound or decline in a short run, mainly adopt short-term operations; and pay attention to the performance at RMB 238. Nonfarm payrolls data polled by the US on last Friday was tremendously better than expected. However, the Fed promoted the Labor Market and Career Information (LMCI) index to reflect the labor market in recent three months, and the data of December is 2.9—much lower than expected 3.9. Although composite indicator barely satisfactory, the market consider the US labor market to be improved. It is limited for gold prices to rebound, choose positions at $1,200. From the funds, gold ETF cut 1.79 tons overnight since two small exposure increases, in total 3.28 tons, during early this month till 10th. This means the Funds have no longer interested in gold buying.
The domestic main contracts of silver AG 1506 futures narrowly adjusted overnight; short-term moving averages laterally arranged. In operations, silver prices showed limited waves in recent 5 trading days, concern operation opportunities if break the RMB 3,410-3,550 interval. Overall, silver prices moved with gold prices. As for funds, cut holding positions for silver ETF once the price was high, the total reduction for last 6 days was 153.48 tons, indicating the Funds were unloading inventories every rebounds.
Stock Index
The stock index surged again yesterday. New released foreign trade data of December was far from the expectation, especially for import. That led to a more negative expectation for the economy, looking forward to more easing policies. Yesterday, China Securities Depository and Clearing Corp (CSDC) said in an announcement after the market closed on Monday that with immediate effect, only corporate bonds with the highest rating of AAA and those issued by firms with a high rating of AA and above could be used for bond repo business. That might intensify the bond market liquidity in a short term. And if the central bank does not hedge, high yield might involve the stock market. Stocks of top industries kept rising, but fluctuations in the middle of the session indicated increasing selling. Thus, risk control has an increased importance when following the trends.
Three month LME aluminum closed down for 0.82% to $1,965.25 per ton on Monday. Bank of France (BOF) planed an economic slowdown in Q4. Putin, the president of Russia, will help the banking area out of trouble. The central economic work conference is going to be held. The conference focuses on the “Belt and Road” policy. Premium contracts of LME aluminum will be published in the beginning of 2015. The customs polled the total export of aluminum and not-forged and unrolled aluminum in December for 390,000 tons. Wait to see the performance of SHFE aluminum.
                                                                                        Dong LV (Investment Certificate NO. TZ008452)