SMM Brief on SHFE Copper Prices on Dec. 9

SHANGHAI, Dec. 9 (SMM) –Due to declines in LME copper prices overnight, SHFE 1202 copper contract prices, the most active one, opened RMB 700/mt lower at RMB 57,110/mt Friday. After the opening, China announced both November’s CPI and PPI fell, but it had a limited impact on copper markets. LME copper prices still came under pressure at the 10-day moving average, and SHFE three-month copper contract prices faced resistance at levels near the 60-day moving average of RMB 57,500/mt. SHFE three-month copper contract prices basically fluctuated around the daily moving average during the whole trading day, with the low-end prices getting support at RMB 57,050/mt. Finally, SHFE 1202 copper contract prices closed at a recent low of RMB 57,070/mt, down RMB 740/mt or 1.28%. Positions for SHFE 1202 copper contracts were down 4,390 lots, and trading volumes were down 51,970 lots. Market investors had little interest in keeping up with rising prices, and SHFE copper prices faced growing upside pressures.