Chinese commodity futures, with the exception of nickel and aluminium, are getting obliterated on Friday, cascading lower upon the resumption of trade following the week-long Lunar New Year holiday.
Here’s the current scoreboard as at 2.30pm AEST.
SHFE Copper ¥46,820 , -2.54%
SHFE Aluminium ¥13,805 , -0.86%
SHFE Zinc ¥22,555 , -1.36%
SHFE Nickel ¥83,780 , 1.76%
SHFE Rebar ¥3,106 , -6.98%
DCE Iron Ore ¥611.00 , -5.49%
DCE Coking Coal ¥1,166.50 , -5.12%
DCE Coke ¥1,576.50 , -5.46%
The losses coincide with steps taken by the People’s Bank of China to drain liquidity from China’s financial system following Lunar New Year celebrations.
It also followed a disappointing Caixin-IHS Markit manufacturing PMI report for January which fell to 51.0, indicating that activity levels for smaller Chinese firms improved at a slower pace than that seen in December.