SMM Brief on SHFE Copper Prices (2013-3-28)

SHANGHAI, Mar. 28 (SMM) – SHFE 1307 copper contract started the day RMB 180/mt higher at RMB 55,820/mt on Thursday, thanks to a rebound in LME copper overnight. The Shanghai Composite Index lost more than 3% and LME copper retreated from USD 7,600/mt in the afternoon, dragging the most active SHFE copper contract to a low of RMB 55,200/mt. SHFE copper for July delivery stopped falling after shorts closed positions, and finally ended the day down RMB 340/mt or 0.61% at RMB 55,300/mt. Trading volumes and positions of SHFE 1307 copper contracts increased 66,686 lots and 3,404 lots, respectively. Trading volumes and positions of SHFE 1308 copper contracts were also up 37,584 lots and 10,836 lots, respectively. SHFE copper is expected to sink to RMB 55,000/mt at the bottom.