SMM Brief on SHFE Copper Prices (2013-4-12)

SHANGHAI, Apr. 12 (SMM) – SHFE 1308 copper contract opened RMB 100/mt higher at RMB 55,150/mt on Friday as LME copper regained losses overnight. After its opening, the most active SHFE copper contract rose along with LME copper as the US dollar index fell back. However, August copper on the SHFE pulled back after reaching RMB 55,250/mt due to falling Shanghai Composite Index. In the afternoon, the most-traded SHFE copper contract slid to RMB 54,940/mt as shorts entered the market, but did bounce back at the tail of trading. Finally, SHFE copper for August delivery closed at RMB 55,150/mt, a gain of RMB 100/mt or 0.18%. Trading volumes and positions increased 12,126 lots and 13,168 lots, respectively. The struggle between longs and shorts will leave SHFE copper stagnant at RMB 55,000/mt.