SMM Brief on SHFE Copper Prices (2013-6-14)

SHANGHAI, Jun. 14 (SMM) – With LME copper down overnight, SHFE 1310 copper contract started Friday RMB 170/mt lower at RMB 51,500/mt. After its opening, the most active SHFE copper contract was pushed up to RMB 51,720/mt by position liquidation before sinking to RMB 51,250/mt. In the afternoon session, SHFE copper for October delivery gained traction from the rally of the Shanghai Composite Index to hover around the daily moving average, and finally closed the session at RMB 51,450/mt, down RMB 220/mt or 0.43%. Trading volumes were off 101,000 lots, and positions added 8,970 lots. Investors largely sold at high and bought at low. The most active SHFE copper contract is vulnerable to losses in the near future.