23 JUNE 2016Shanghai Metals Market
SHFE aluminium to consolidate at highs
Edited by : AL CIRCLE
2 min read
SHFE 1608 aluminium will consolidate at highs of RMB 12,250-12,400/mt today, with eyes on UK referendum.
LME aluminium will move at highs of USD 1,625-1,645/mt.
In China’s spot aluminium market, spot premiums of RMB 90-130/mt are expected over SHFE 1607 aluminium contract.
Key macroeconomic indicators for base metal prices
Market will eye June manufacturing PMIs from the euro zone and US and US new home sales today. With UK referendum just around the corner, market caution will intensify.
France’s manufacturing PMI might remain below 50 in June, which will be a drag on manufacturing in the euro zone. Manufacturing PMIs in Germany and the euro zone are expected to continue rising.
New York and Philadelphia Fed manufacturing indexes for June were positive. US manufacturing PMI pointed to expansion for three consecutive months in May. As such, US manufacturing PMI for June is expected to be positive as well.
US new home sales might fall in May due to high base in April. US pending home sales rose 5.1 per cent MoM in April, beating forecast, which means any decline in US new home sales will be limited in May.
Both sides are still at loggerheads over Brexit. US Fed Chairwoman Janet Yellen said UK exit from the EU will have great impact on the US.
LME aluminium will move at highs of USD 1,625-1,645/mt.
In China’s spot aluminium market, spot premiums of RMB 90-130/mt are expected over SHFE 1607 aluminium contract.
Key macroeconomic indicators for base metal prices
Market will eye June manufacturing PMIs from the euro zone and US and US new home sales today. With UK referendum just around the corner, market caution will intensify.
France’s manufacturing PMI might remain below 50 in June, which will be a drag on manufacturing in the euro zone. Manufacturing PMIs in Germany and the euro zone are expected to continue rising.
New York and Philadelphia Fed manufacturing indexes for June were positive. US manufacturing PMI pointed to expansion for three consecutive months in May. As such, US manufacturing PMI for June is expected to be positive as well.
US new home sales might fall in May due to high base in April. US pending home sales rose 5.1 per cent MoM in April, beating forecast, which means any decline in US new home sales will be limited in May.
Both sides are still at loggerheads over Brexit. US Fed Chairwoman Janet Yellen said UK exit from the EU will have great impact on the US.
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