Shanghai Metals Market reported broad strength across base metals futures on September 21, 2026, with most contracts posting gains at midday close despite weakness in crude oil markets. On the Shanghai Futures Exchange (SHFE), zinc emerged as a notable performer, gaining 0.73% during the session. Copper advanced 0.39%, while lead rose 0.71% and tin gained 0.96%.
Nickel edged up as well. Aluminum was the exception among major base metals, declining 0.51%. The most-traded lithium carbonate contract delivered the day's strongest performance among chemical commodities, surging 4.06%.
Polysilicon futures rose 1%, while silicon metal edged up 0.12%. Casting aluminum and alumina showed mixed results, with casting aluminum up 0.71% and alumina down 0.25%. Ferrous metals displayed mixed performance.
Iron ore traded flat at 714 yuan/mt, rebar rose 0.35%, and hot-rolled coil gained 0.21%. Stainless steel advanced 0.47%. In the coal complex, the most-traded coking coal contract fell 0.07% while the most-traded coke contract declined 0.13%.
London Metal Exchange (LME) base metals also broadly advanced. LME zinc gained 0.15%, lead rose 0.26%, tin climbed 0.67%, and nickel advanced 0.49%. LME aluminum fell 0.59%, while LME copper edged down.
Precious metals faced headwinds. COMEX gold declined 0.62% and COMEX silver dropped 0.56%. On domestic exchanges, SHFE gold fell 0.16%, though the most-traded SHFE silver contract posted a gain of 0.74%.
Platinum and palladium futures rose 0.25% and 0.24% respectively. Crude oil prices declined notably, with WTI down 2.21 and Brent down 1.89% as of midday, reflecting concerns about Middle East geopolitical developments. The weakness in energy markets contrasted sharply with the strength in metals and industrial commodities.
On the macro front, China's State-owned Assets Supervision and Administration Commission emphasized expansion in emerging industries and movement toward higher value-added production. Additionally, the People's Bank of China conducted 165 billion yuan in 7-day reverse repo operations, achieving a net injection of 165 billion yuan. In currency markets, the US dollar index rose 0.07% to 100.29.
Federal Reserve officials continued to assess inflationary pressures, with Minneapolis Fed President Neel Kashkari noting that inflation remains elevated and has spread beyond oil-related sectors. CME FedWatch data showed a 56.5% probability of a 25 basis point Fed rate hike at the October meeting, up from expectations of policy hold. Spot copper prices in Guangdong showed strength, with high-quality copper cathode quoted at a premium of 900 yuan/mt against the front-month contract, unchanged from the previous trading day.
The average price of Guangdong #1 copper cathode rose 520 yuan/mt to 110,775 yuan/mt. Source: Shanghai Metals Market (SMM) Midday Commentary, September 21, 2026.
Source: news.metal.com