SMM Brief on SHFE Copper Prices (2013-4-1)

SHANGHAI, Apr. 1 (SMM) – COMEX copper dived this morning, causing SHFE 1307 copper contract to open RMB 550/mt lower at RMB 54,480/mt on Monday. After its opening, the most active SHFE copper contract retreated from RMB 54,000/mt to a low of RMB 53,800/mt due to short selling. Later, the struggle between longs and shorts left SHFE copper hovering around RMB 54,000/mt. In the afternoon, SHFE copper for July delivery slipped further to an intraday low of RMB 53,600/mt, and finally ended the day down RMB 1,290/mt or 2.34% at RMB 53,740/mt. Trading volumes increased 47,082 lots, while positions were also up 17,358 lots. SHFE copper will continue to come under downward pressure since shorts are dominating the market.