Daily Report 121016
Macro Economy
Domestically, October 10, 30 large and medium-sized city commercial housing turnover is 99.69 million square meters, dropped compared with the October 9, but still remain high and significantly higher than the average daily turnover in 2016, so from the current Data, it’s difficult to say how the New Deal will influence the price. The market is more of a sustained promote of central control expectation.
Tuesday copper market adjusted, but meets bolster at bottom. LME inventory decreased 1325 tons to 349000 tons. LME actuals discount enlarged $1.25 to discount $20.5. LME positioning data shows that till last Friday funds net positioning data decreased 3393 lots to 38602 lots. Long positon decreased 6539 lots to 122000 lots. Short position decreased 3146 lots to 83000 lots. Supply side, expected copper output of Antamina is 420000 to 430000 tons, expected increase 1.95% to 4.38%. 2017 output expectation is also the same. From a technical point of view, the recent strong performance of copper, but with the rebound in copper prices, the resistance will gradually appear; we are waiting for the end of copper rebounded signs.
Yesterday PP futures market continued fluctuation at high position; opened at 7670 and closed at 7662, and trading volume decreased 43954 lots to 344000 lots. Holding volume increased 4150 lots to 687000 lots. Actuals side, yesterday domestic PP market continued slightly increase tendency. Intraday main quoted prices for wires of north China, east China and south China markets are RMB 8050-8250/ton, RMB 8100-8300/ton and RMB 8350-8500/ton, respectively. As for operation, now average lines system changed tendency, and MACD red column lengthened, which is upward tendency. Recent expect strong tendency.
                                                                                                    Dong LV (Investment Certificate NO. TZ008452