Daily Report 171016

Domestically, palm-oil limit up lead agricultural section rallied. Oil against meal ratio reached new platform. After holiday Northeast China domestic soybean price is stable and dropped. Market filtered grain price is RMB 3500-3700/ton. Purchasing and selling are under observation. Since other province soybean market is unsalable, traders are lack enthusiasm to purchase. Domestic soybean actuals differentiates; high protein soybean with high price and low quantity, and low quality soybean with low quality and difficult to sell. Soybean meal side, last week actuals are totally strong. Partial district slightly decreased quotation. Coastal oil plant quotation is RMB 3150-3250/ton. Downstream purchasing is normal. As for operation, soybean species roll for long. Buying oil selling meal arbitrage stop gain at 2.3:1.
Last week copper price is hard to rush, and dropped below 10 weeks average. LME dropped with 2.39%. Last week three main exchanges inventory increased 1258 tons to 539000 tons. SHFE increased 14000 ton to 121000 tons. LME inventory decreased 14000 tons to 346000 tons. COMEX maintained at 71000 tons. LME actuals last week maintains at discount, and Friday was discount $19.75. Technically, copper price is rolling back. Keep hold short position. Focus on resistance line of fluctuation range. Technically, copper price dropped with increasing volume. Find short opportunity when price is high.
Last week PP futures rushed high and rolled back. Upstream side, till Friday night, Korea FOB average price is $855.5/ton. Operating ratio is 91.2%, higher than last week. Actuals side, this week domestic market increased then slightly adjusted. Intraday main quoted prices for wires of north China, east China and south China markets are RMB 8000-8150/ton, RMB 8000-8300/ton and RMB 8300-8500/ton, respectively. As for operation, now average lines system twisted, and MACD red column shortened, upward motion is not strong. Recommend for observe.
                                                                                                      Dong LV (Investment Certificate NO. TZ008452)