SHANGHAI, Mar. 18 (SMM) – Cyprus decided last weekend to impose nearly 10% tax on the country’s bank depositors, sending LME copper prices plunging. As a result, SHFE 1306 copper contract prices started the day RMB 320/mt lower at RMB 56,330/mt on March 18. After the opening, SHFE copper for June delivery retreated from RMB 55,000/mt to a low of RMB 54,810/mt. SHFE 1307 copper contracts became the most active one. However, dip-buying did help SHFE copper temporarily stop falling and hover around the daily moving average before mid-day. The Shanghai Composite Index fell by 1.7%, failing to lend support to SHFE copper. In the afternoon, LME copper fell below USD 7,600/mt again, causing SHFE copper to drop below the daily moving average. Finally, SHFE 1306 copper contracts finished at RMB 55,300/mt, down RMB 1,710/mt or 3%. SHFE 1307 copper contracts opened at RMB 56,310/mt, with the low-end price at RMB 54,660/mt, and finally ended the day RMB 1,840/mt or 3.23% lower at RMB 55,190/mt. Trading volumes and positions of SHFE 1307 copper contracts were up 237,00 lots and 87,254 lots, respectively. A lot of shorts were buying SHFE 1308 copper contracts. SHFE copper prices will remain under downward track for the near term.