SHANGHAI, Dec. 4 (SMM) – It was released that ISM PMI fell to 49.5 in the US, suggesting that the US manufacture activities contracted. This weighed down the US equity market and commodity market. However, China’s PMI was positive. Besides, the US Congress and the Republican proposed USD 2.2 trillion plan to avert financial cliff. In addition, the Greek government announced bond repurchase plan and set the purchasing prices higher than market expectation in order to attract more investors, which eased market expectation that the Greece debt crisis will deteriorate. This pushed up the euro to hit 6-week high, lending support for copper prices. In response, LME copper prices advanced and closed at USD 8,014/mt and stood above 60-day moving average, advancing for three consecutive days.

China’s stock market continued to slip, which will drag down SHFE 1303 copper contract to move between RMB 57,300-57,900/mt. In the Shanghai copper spot market, spot discounts for high-quality copper over SHFE 1212 copper contract will narrow to RMB 150-250/mt on Tuesday.