Nonferrous Metals outperformed the market this week, with an increase of 3.19%. Among the sub sectors, the top three were other small rare metals, magnetic materials and new metal materials III, with increases of 5.17%, 4.65% and 4.55% respectively. In addition, the largest decline was in the aluminum plate, with a decline of 0.64%.
Base metal
The current market of base metals is relatively strong in this cycle. Futures market: LME copper, tin and nickel increased by 1.17%, 1.00% and 3.73% over the same period last week; Aluminum, zinc and lead decreased by 0.32%, 0.24% and 1.38% compared with the same period last week. China’s spot market: copper, aluminum, nickel and tin increased by 0.04%, 1.39%, 2.59% and 0.62% respectively; Zinc and lead decreased by 0.92% and 0.65% compared with last week. Copper: copper prices rose slightly this week. On the supply side, the supply of copper concentrate is expected to be repaired, and the output of copper mine continues to grow. Las bambas copper mine in Peru has reached an agreement with the local community, and the mine operation is expected to resume this week. In addition, the customs clearance of many ports in Inner Mongolia has gradually resumed. In terms of demand, the impact of power restriction policy is limited, the operating rate of processing enterprises is gradually increasing, and the downstream purchase intention is relatively weak near the off-season of pre Festival demand. As of Friday, SHFE copper inventory was about 38200 tons, up 40.52% from the same period last week. Aluminum: aluminum prices showed an upward trend this week, up 1.39% over the same period last week. European energy crisis ferments and supply continues to tighten. The cost of natural gas and electricity in Europe continues to rise, pushing up the cost of overseas electrolytic aluminum. Many local aluminum plants plan to reduce or stop production, which is expected to affect the electrolytic aluminum production capacity of more than 300000 tons. In terms of China’s supply, there are signs of resumption of production in many aluminum plants in Yunnan, but it is difficult to see large-scale increment in the short term. In terms of demand, China’s downstream has a strong willingness to replenish inventory at the end of the year. In terms of inventory, as of Friday, SHFE aluminum inventory was 323600 tons, down 1.71% from the same period last week. It is suggested to pay attention to: Zijin Mining Group Company Limited(601899) , China Molybdenum Co.Ltd(603993) , Yunnan Aluminium Co.Ltd(000807) , Henan Shenhuo Coal&Power Co.Ltd(000933) , Shandong Nanshan Aluminium Co.Ltd(600219) , Henan Mingtai Al.Industrial Co.Ltd(601677) .
New energy metals
The price performance of new energy metals this week is relatively differentiated. Cobalt: the price of cobalt rose steadily this week. As of Friday, the spot price of cobalt in the Yangtze River was 495000 yuan / ton, up 1.02% from last week. The price of cobalt salt showed an upward trend as a whole. The price of cobalt sulfate was 102000 yuan / ton, up 1.98% from last week; The price of Co3O4 was 393500 yuan / ton, up 2.88% from last week. Overseas transportation is limited, and the tension of cobalt raw materials continues. The cobalt salt market has warmed up, the order inquiry trading volume has increased, the epidemic situation in Zhejiang has eased, and the downstream shutdown manufacturers have gradually resumed production. With the advent of the Spring Festival at the end of the year, the stock volume of root terminal may increase, and the cobalt price is expected to rise slightly. Lithium: the lithium salt market maintained stable operation this week, and the price of lithium salt increased. As of Friday, the price of lithium carbonate was 260000 yuan / ton, up 8.33% year-on-year from last week; The price of lithium hydroxide was 215500 yuan / ton, up 6.42% year-on-year from last week. Traders have basically completed the preparation before the festival, and the market trading volume near the Spring Festival has decreased. It is expected that the high lithium price will maintain stable operation. It is suggested to focus on Zhejiang Huayou Cobalt Co.Ltd(603799) , Nanjing Hanrui Cobalt Co.Ltd(300618) targets of cobalt industry integration layout; Leading enterprises with high self-sufficiency rate of lithium resources Ganfeng Lithium Co.Ltd(002460) , Tianqi Lithium Corporation(002466) ; Related subjects of salt lake lithium: Qinghai Salt Lake Industry Co.Ltd(000792) , Tibet Summit Resources Co.Ltd(600338) , Tibet Mineral Development Co.Ltd(000762) , Sinomine Resource Group Co.Ltd(002738) ; Lithium mica related subject matter: Yongxing Special Materials Technology Co.Ltd(002756) , Jiangdian special machine; Related subject matter of spodumene: Sichuan New Energy Power Company Limited(000155) .
noble metal
Precious metals fluctuated upward as a whole this week. Gold: as of Friday, Comex gold price was US $1830.5/oz, up 1.13% from last week; Spot gold in London was US $1805.9 per ounce, up 1.11% from last week. Silver: Comex silver price was US $23.36/oz, up 1.94% from last week; The spot silver price in London was US $22.77/ounce, up 0.44%. High inflation, the reduction of bond purchase scale by the Federal Reserve and the rampant global covid-19 variant virus have given some support to gold prices in the short term. It is suggested to pay attention to: Chifeng Jilong Gold Mining Co.Ltd(600988) , Yintai Gold Co.Ltd(000975) , Shengda Resources Co.Ltd(000603) .
Risk statement
The demand is less than expected; The European energy crisis continues to ferment; Risk of policy changes.
