Daily Report 130916

Soybean
Domestically, domestic section recent two days soybean meal continued strong. Since over-night overseas showed short signal but quotation is resistant to dropping. Domestic should cautious for short in short-term. As for operation, supply-need report has the signal of out of market. Buying oil selling meal arbitrage stops for observation. Ratio dropped below 2.05:1 then stop loss.
 
PP
Yesterday PP opened low and fluctuated downward; opened at 7188 and closed at 7110. Trading volume increased 30866 lots to 433000 lots. Holding volume increased 65618 lots to 728000 lots. Intraday main quoted prices for wires of north China, east China and south China markets are RMB 8000-8050/ton, RMB 7950-8150/ton and RMB 8200-8250/ton, respectively. As for operation, current moving average system twisted; MACD green column lengthen, and recommend price fluctuation and downward trend.
 
Copper
Monday copper market adjusted largely near yearly fluctuation range, and price reached the lowest $4582, then recover partial loss. LME inventory increased 3600 tons to 354000 tons. LME physical discount enlarged $0.75 to discount $19.25. Supply side, Peru July copper output increased 30% year-on-year to 201867 tons. The first seven months copper output of this year increased 47.3% year-on-year to 1320000 tons. Of Peru main output increasing mines, Cerro Verde reached the full capability and still under the progress of increasing output. Technically, we focus on the effectiveness of low position bolster. LME is $4670 and domestically RMB 36750.
 
                                                                                                        Dong LV (Investment Certificate NO. TZ008452)