SMM Brief on SHFE Copper Prices on Jun. 12

SMM Insight 04:26:05PM Jun 12, 2012 Source:SMM

SHANGHAI, Jun. 12 (SMM) – As LME copper narrowed gains overnight, the most active SHFE copper contract for September delivery started RMB 800/mt down at RMB 53,620/mt Tuesday. The Shanghai Composite Index slid below 2,300 during the day and failed to support SHFE 1209 copper contract, which fluctuate in a narrow band with great resistance at RMB 54,000/mt. In the afternoon, as LME copper met resistance to rebound, the contract sank gradually below the daily moving average to RMB 53,620/mt and finally ended at RMB 53,740/mt, down RMB 680/mt or a loss of 1.25%. Trading volumes for SHFE 1209 copper contract fell by 126,000 lots, but positions increased by 534 lots. Trading volumes for SHFE 1210 copper contract decreased by 43,128 lots, while positions added by 14,312 lots, an indication of the shift of the most active copper contract. With growing pressures, SHFE copper will test support at RMB 53,500/mt in the foreseeable future.
 

SMM Brief on SHFE Copper Prices on Jun. 12

SMM Insight 04:26:05PM Jun 12, 2012 Source:SMM

SHANGHAI, Jun. 12 (SMM) – As LME copper narrowed gains overnight, the most active SHFE copper contract for September delivery started RMB 800/mt down at RMB 53,620/mt Tuesday. The Shanghai Composite Index slid below 2,300 during the day and failed to support SHFE 1209 copper contract, which fluctuate in a narrow band with great resistance at RMB 54,000/mt. In the afternoon, as LME copper met resistance to rebound, the contract sank gradually below the daily moving average to RMB 53,620/mt and finally ended at RMB 53,740/mt, down RMB 680/mt or a loss of 1.25%. Trading volumes for SHFE 1209 copper contract fell by 126,000 lots, but positions increased by 534 lots. Trading volumes for SHFE 1210 copper contract decreased by 43,128 lots, while positions added by 14,312 lots, an indication of the shift of the most active copper contract. With growing pressures, SHFE copper will test support at RMB 53,500/mt in the foreseeable future.