Nonferrous Metals outperformed the market this week, with an increase of 2.26%. Over the same period, the Shanghai Composite Index fell 2.14% to close at 321224; The Shenzhen composite index fell by 72.73% to close at 12008 points; The CSI 300 fell 2.14% to close at 417457.
Base metal
The current market of base metals has increased in this cycle. Futures market: LME copper and nickel fell by 0.28% and 1.67% compared with the same period last week; LME aluminum, zinc, lead and tin increased by 7%, 6.28%, 3.83% and 0.43% over the same period last week. China’s spot market: aluminum, copper, nickel, lead, zinc and tin increased by 1.00%, 1.14%, 3.31%, 1.18%, 20.30% and 1.79% respectively. Copper: copper prices continued to fluctuate this week. Continued high global inflation and China’s steady growth policy supported copper prices. Within the week, the Fed will release hawkish signals again, short-term bad news will fall, and copper prices may continue to strengthen in the short term. In China, strict epidemic prevention requirements hinder downstream production and consumption and the transportation of electrolytic copper and waste copper. China’s spot market continues to destock. As of Friday, SHFE copper inventory was about 102100 tons, down 21.20% from the same period last week. Aluminum: aluminum prices continued to rise this week. The conflict between Russia and Ukraine continued to ferment. During the week, Australia imposed sanctions on Russia, banned the export of bauxite and alumina to Russia, and restricted its aluminum production capacity. At the same time, Russia announced to settle natural gas with Europe in rubles, pushing up energy prices, and the production reduction of European aluminum plants is still expected. In the Chinese market, electrolytic aluminum enterprises have gradually returned to work and production, and the operating capacity of electrolytic aluminum has increased steadily. At the same time, the market demand has gradually warmed up. China’s inventory has been significantly removed. As of Friday, SHFE aluminum inventory was 30.89 tons, down 7.45% from the same period last week. It is suggested to pay attention to: Zijin Mining Group Company Limited(601899) , China Molybdenum Co.Ltd(603993) , Henan Shenhuo Coal&Power Co.Ltd(000933) , Yunnan Aluminium Co.Ltd(000807) , Shandong Nanshan Aluminium Co.Ltd(600219) , Henan Mingtai Al.Industrial Co.Ltd(601677) .
New energy metals
The price of new energy metals stabilized this week. Cobalt: the price of cobalt fluctuated and fell this week. As of Friday, the spot price of cobalt in the Yangtze River was 569000 yuan / ton, down 0.35% from last week. The price trend of cobalt salt is stable. The prices of cobalt sulfate and cobalt trioxide are 118000 yuan / ton and 437500 yuan / ton respectively, maintaining the price of last week. The epidemic situation in China has repeatedly affected the enthusiasm of market transactions. At the same time, due to the obstruction of logistics under the epidemic situation, downstream manufacturers have low willingness to purchase and strong wait-and-see mood. Lithium: lithium prices remained high this week. As of Friday, the price of lithium carbonate was 485000 yuan / ton, and the price of lithium hydroxide was 480500 yuan / ton, which were the same as that of last week. On the supply side, the manufacturer’s maintenance has not been fully restored. The temperature rise in Qinghai has released the lithium extraction output of Salt Lake, but it can not solve the supply shortage. Recently, a number of new energy vehicle enterprises announced price increases. At the same time, the Ministry of industry and information technology once again pointed out that it is necessary to ensure the benign and sustainable development of lithium battery industry and guide the rational return of lithium price. Under the tension of supply and demand, lithium price will remain high. 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 lithium in Salt Lake: 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) ; Related objects of lepidolite: Yongxing Special Materials Technology Co.Ltd(002756) , Jiangxi Special Electric Motor Co.Ltd(002176) ; Related subject matter of spodumene: Sichuan New Energy Power Company Limited(000155) .
Precious metals
Precious metal prices generally rose this week. Gold: as of Friday, Comex gold price was 1957.6 US dollars / ounce, up 1.88% from last week; Spot gold in London was $1953.8 per ounce, up 0.93% from last week. Silver: Comex silver price was US $25.73/oz, up 2.35% from last week; The spot silver price in London was US $25.62/ounce, up 1.53%. The United States announced that the number of people applying for unemployment benefits decreased significantly last week and the PMI of manufacturing and service industries exceeded expectations, and the U.S. economy improved. At present, global inflation continues to be high. The Federal Reserve released the hawk signal within the week, but the market has expected to raise interest rates. In addition, the conflict between Russia and Ukraine continues to ferment, the negotiations between the two sides have not made substantive progress, the intensity of Western sanctions has not been reduced, and the instability of the situation has boosted the demand for safe haven of precious metals and supported the continuous rise of gold prices. It is suggested to pay attention to: Chifeng Jilong Gold Mining Co.Ltd(600988) , Shandong Gold Mining Co.Ltd(600547) , Yintai Gold Co.Ltd(000975) .
Risk tips
The demand is less than expected; The geopolitical war between Russia and Ukraine continued to ferment; Risk of policy changes.
