SMM Brief on SHFE Copper Prices (2013-7-8)

SHANGHAI, Jul. 8 (SMM) – SHFE 1310 copper contract opened RMB 550/mt lower at RMB 49,130/mt on Monday, dragged down by plunging LME copper overnight. A 2.5% plunge in China’s A-shares sent SHFE copper for October delivery down to RMB 49,260/mt. Finally, SHFE 1310 copper contract finished at RMB 48,860/mt, down RMB 820/mt or 1.65%. SHFE 1311 copper contract ended the day at RMB 48,640/mt, down RMB 840/mt or 1.7%, with the high-end and low-end prices at RMB 49,100/mt and RMB 48,530/mt, respectively. Trading volumes and positions of SHFE 1310 copper contracts shrank 56,772 lots and 15,078 lots, respectively, while trading volumes and positions of SHFE 1311 copper contracts increased 151,000 lots and 44,288 lots, respectively. SHFE 1311 copper contracts became the new most active contract today. Further declines are expected in SHFE copper prices.