Daily Report 050117

Domestically, bolstered by strong actuals, DCE soybean No.1 contract 1705 warehouse receipt cost is about RMB 4250/ton, which bolstered the market. Soybean oil followed US market tendency. Actuals side, Northeast district soybean market is stable, and main district grain purchasing price focus on RMB 3800-3900/ton. Soybean meal actuals quotation continued slightly drop, and partial district quotation dropped RMB 20-50/ton. Coastal oil plant quotation RMB 3300-3380/ton.
Wednesday copper market is strong. Copper price meets bolster and largely increased, closed with increase of 2.8%. The main reason is weak US dollar. LME inventory yesterday decreased 5950 tons to 306000 tons. LME actuals discount narrowed $1.5 to discount $15. LME actuals market is still weak. Technically, copper price rallied, and considering weak downstream need before spring festival, futures price lacks the increase basis of actuals. Recommend short-term operation.
Nature Rubber
Shanghai rubber continued fluctuation. Till the actuals trade time, domestic spots price is 2010-2020(+10); domestic cargo price is 2040-2050(+10); US RSS spots price is 2300-2320(0); US RSS cargo price is 2320-2340(0); Singapore cargo price is 2080-2090(+10); Thai cargo price 2000-2100(+10); mixed rubber price is 17200-17400(0). Overall, recently market fluctuates and waits for new hot point, recommend for short-term trade.                                                                                  
                                                                                               Dong LV (Investment Certificate NO. TZ008452)