SMM Brief on SHFE Copper Prices on Dec. 2

SHANGHAI, Dec. 2 (SMM) –SHFE 1202 copper contract prices, the most active one, opened flat at 58,860/mt on Friday. After the opening, as new short investors entered the market, and since Chinese stock markets kept weak and closed down by 1%, SHFE three-month copper contract prices failed to rally and fluctuated near RMB 57,500/mt, with a low touching RMB 57,360/mt. However, SHFE three-month copper contract prices gradually stabilized and moved above the daily moving average in the afternoon session. Tracking increasing LME copper prices, SHFE three-month copper contract prices climbed to RMB 58,120/mt at the tail of trading, but still came under pressure at the RMB 58,000/mt level. Finally, SHFE 1202 copper contract prices closed at RMB 58,060/mt, up RMB 200/mt or 0.35%. Positions for SHFE 1202 copper contracts were up 22,272 lots, and trading volumes were up 40,848 lots. Long and short investors held divergent views ahead of the release of the US non-farm payrolls, and SHFE copper prices are awaiting guidance from LME copper with great pressures at RMB 58,100/mt.