SMM Brief on SHFE Copper Prices on Mar. 8

SHANGHAI, Mar. 8 (SMM) –As LME copper prices rallied overnight, SHFE 1206 copper contract prices, the most active one, opened RMB 290/mt higher at RMB 59,670/mt Thursday. Both LME copper prices and Chinese stock prices rose stably during the whole trading day, but SHFE copper prices only fluctuated around the daily moving average of RMB 59,600/mt due to a lack of buying support and prevailing technical resistance, with an intraday high at RMB 59,800/mt and low at RMB 59,430/mt. Finally, the most actively-traded copper contract closed at RMB 59,500/mt, up RMB 120/mt or 0.2%. Positions for SHFE 1206 copper contract were down 138 lots, and trading volumes were down 25,062 lots. Investors mainly conducted intraday operations, and their speculative interest weakened. Hence, SHFE copper prices will face resistance at RMB 60,000/mt over the near term.