SMM Brief on SHFE Copper Prices on Nov. 2

SHANGHAI, Nov. 2 (SMM) –As LME copper prices slumped overnight, SHFE 1201 copper contract prices, the most active one, opened RMB 1,350/mt lower at RMB 56,950/mt on Wednesday. After the opening, SHFE three-month copper contract prices drifted higher as LME copper prices increased above USD 7,800/mt, and mainly fluctuated around RMB 57,500/mt in the morning business. In the afternoon session, since the Shanghai Composite Index stabilized at 2,500 points, SHFE three-month copper contract prices continued to move higher, and broke out the resistance of RMB 58,000/mt at the tail of trading after LME copper prices rose above USD 7,900/mt, with an intraday high at RMB 58,700/mt. Finally, SHFE 1201 copper contract prices closed at RMB 58,670/mt, up RMB 370/mt or 0.67%. Positions for SHFE 1201 copper contracts were up 14,218 lots, while trading volumes were down 57,740 lots. Most long and short investors made intraday operations while awaiting the US Federal Reserve (Fed) meeting in the evening.