Metals: LME Outperforms SHFE, LME Copper, LME Aluminum, and COMEX Silver Lead Gains, SHFE Copper, SHFE Tin, SHFE Nickel, and SHFE Silver Plunge [SMM Midday Review]

SMM April 7 News: In the metal market, as of the midday close, all base metals in the domestic market fell. SHFE copper hit the limit down at the opening on the 7th, and the limit down was lifted after 10:00. As of the midday close, SHFE copper fell 6%. SHFE tin fell 5.97%, SHFE nickel fell 5.53%, SHFE aluminum fell 2.94%, SHFE lead fell 1.66%, and SHFE zinc fell 1.58%. In addition, alumina fell 2.74%, lithium carbonate fell 2.13%, silicon metal fell 1.94%, and polysilicon fell 0.54%. The ferrous metals series all fell, with iron ore down 2.6%, rebar down 2.24%, HRC down 2.47%, and stainless steel down 3.65%. In the coking coal and coke sector, coking coal fell 2.16%, and coke fell 1.1%. In the overseas metal market, as of 11:42, base metals generally rose. LME lead rose 0.52%, LME copper rose 2.01%, LME aluminum rose 1.64%, and LME zinc rose 1.6%. LME tin fell 1.16%, and LME nickel slightly fell. In the precious metals sector, as of 11:42, COMEX gold rose 0.41%, and COMEX silver rose 3.13%. Domestically, SHFE gold fell 2.84%, and SHFE silver fell 8.11%. China's gold reserves at the end of March were 73.7 million ounces, compared to 73.61 million ounces at the end of February. The PBOC has expanded its gold reserves for five consecutive months. As of the midday close, the most-traded contract of the European line container shipping fell 8.31%, reported at 1,932.2 points. As of 11:42 on April 7, some futures midday quotes: SMM metal spot prices on April 7. Spot and fundamentals: Iron ore: SMM global iron ore shipments totaled 31.55 million mt, down 5.8% MoM. Shipments from Australia were 16.94 million mt, down 12% MoM. Shipments from Australia to China were 14.22 million mt, accounting for 83.9% of total shipments from Australia, down 2.6% MoM. Shipments from Brazil were 7.45 million mt, up 4.7% MoM. Shipments from Brazil to China were 3.78 million mt, accounting for 50.8% of total shipments from Brazil, down 4.3% MoM. This week, shipments from non-mainstream mines slightly rebounded, up 0.3% MoM. SMM China iron ore port arrivals totaled 25.46 million mt, down 5.7% MoM, up 9.6% YoY. Click for details. Macro front: Domestically: The Ministry of Commerce will hold a press conference at 3:00 PM on April 10. According to the State Administration of Foreign Exchange, China's foreign exchange reserves at the end of March were $3,240.7 billion, up $13.4 billion from the end of February, an increase of 0.42%. In March 2025, influenced by macroeconomic data, fiscal and monetary policies, and expectations of major economies, the US dollar index fell, and global financial asset prices generally declined. The combined effects of exchange rate conversion and asset price changes led to an increase in foreign exchange reserves for the month. China's economic operation remained stable and progressive, with a package of existing and incremental policies continuing to take effect, and high-quality development steadily advancing, providing support for the basic stability of foreign exchange reserves. HSBC survey: Nearly half of institutional investors are optimistic about China's growth prospects, with Chinese stocks becoming the top choice for emerging market investors recently. The PBOC conducted 93.5 billion yuan of 7-day reverse repo operations at an interest rate of 1.5%. As 245.2 billion yuan of 7-day reverse repos matured today, a net withdrawal of 151.7 billion yuan was realized. On April 7, the central parity rate of the RMB against the US dollar in the interbank foreign exchange market was 7.1980 yuan per US dollar. In the US dollar sector: As of 11:42, the US dollar index rose 0.12%, reported at 103. Fed Chairman Powell said on Friday that the scale of new US tariffs is "larger than expected," and the economic impact, including rising inflation and slowing economic growth, could also be greater. He also warned that it is too early to know what the right response from the Fed should be. Data released before Powell's speech on Friday showed that US non-farm payrolls increased by 228,000 in March, far exceeding the expected 135,000, with the February increase revised down to 117,000. The unemployment rate rose from 4.1% to 4.2%. A closely watched inflation indicator this week will show how much impact goods and services prices have on consumers. The market predicts that the Fed will cut interest rates four times in the remainder of the year. Goldman Sachs expects the Fed to start cutting interest rates in June, earlier than the previously expected July. In other currencies: During the Asian trading session on Monday (April 7), after hitting a low of 1.2820 for more than a month, GBP/USD attracted some bargain-hunting, and the exchange rate is currently trading around 1.2850. However, due to the pressure on the global economic outlook, the upward momentum lacks strong buying support. The pound seems to be supported by market expectations that the Bank of England will lower borrowing costs more slowly than other central banks, including the Fed. In data: Today, Germany's seasonally adjusted industrial production MoM for February, Germany's working-day adjusted industrial production YoY for February, Germany's seasonally adjusted exports MoM for February, the Eurozone's Sentix investor confidence index for April, the Eurozone's retail sales MoM for February, the Eurozone's retail sales YoY for February, the global leading indicator of industrial production cycle turning points for March, and Canada's leading indicator MoM for March will be released. In crude oil: As of 11:42, crude oil futures fell, with WTI crude down 2.65% and Brent crude down 2.62%. The market weighed the expected increase in US crude oil production and the impact of trade tariffs. US energy services company Baker Hughes said in its closely watched report that US energy companies cut the total number of oil and gas rigs for the second consecutive week, but the number of oil rigs rose to the highest level since June. Data showed that as of the week of April 4, the total number of US oil and gas rigs, a leading indicator of future production, fell by 2 to 590. Baker Hughes said that the number of active US oil rigs increased by 5 this week to 489, the highest level since June 2024, while the number of gas rigs fell by 7, the largest drop since May 2023, to 96, the lowest since September last year. Spot market overview: After the holiday, copper prices once hit the limit down, and spot trading was sluggish [SMM South China copper spot]. In the early market, LME copper futures were volatile, and the import window opened with offers rising sharply [SMM Yangshan copper spot]. SHFE copper hit the limit down at the opening, and the spot market was turbulent, but the situation improved after the opening [SMM SHFE copper spot]. Guangdong zinc: Futures center fell, and spot premiums/discounts rose [SMM midday review]. [SMM iron ore shipping data] Global shipments and port arrivals both declined. Other metal spot midday reviews will be updated later, please refresh to view.

SMM

Metals: LME Outperforms SHFE, LME Copper, LME Aluminum, and COMEX Silver Lead Gains, SHFE Copper, SHFE Tin, SHFE Nickel, and SHFE Silver Plunge [SMM Midday Review]

【SMM Price】April 7, 2025 Jinlong Brass Billet Price

SHFE copper inventories dropped to a nearly two-month low, while New York copper inventories surged to their highest level in over six years.