SMM Copper Market Daily Review (2013-10-24)

Price Review & Forecast 09:13:33AM Oct 25, 2013 Source:SMM

SHANGHAI, Oct. 25 (SMM) – The most active aluminum contract on the Shanghai Futures Exchange (SHFE) started RMB 490/mt lower at RMB 51,780/mt on Thursday, weighed down by falling LME copper overnight. The red metal was pushed higher by better-than-expected HSBC’s flash China manufacturing PMI, but still met resistance at RMB 51,870/mt. In the afternoon session, SHFE 1401 copper contract followed LME copper below the daily moving average to an intraday low of RMB 51,430/mt, dragged down by falling Shanghai Composite Index. SHFE copper for January delivery recovered some losses at the tail of the session due to short sellers closing positions, but still finished the day down RMB 540/mt or 1.03% at RMB 51,730/mt. Trading volumes and positions of SHFE 1401 copper contract were up 78,944 lots and 3,364 lots, respectively, while trading volumes and positions of SHFE 1402 copper contract also increased by 30,444 lots and 14,354 lots, respectively.  

 
Spot copper in Shanghai was quoted at a contango of RMB 0-140/mt over SHFE 1311 copper contract on Thursday. Traded prices were RMB 51,820-51,900/mt for standard-quality copper, and RMB 51,920-52,020/mt for high-quality copper. Upbeat HSBC’s flash China manufacturing PMI helped SHFE copper stop falling after a low opening. Contango narrowed only slightly due to ample supply. Traders and downstream producers became more interested in buying now that prices have fallen below RMB 52,000/mt. The rallying SHFE copper in the afternoon left contango for spot copper narrowing to RMB 10-80/mt, and traded prices were down to RMB 51,700-51,850/mt. Transactions continued to pick up.
 

SMM Copper Market Daily Review (2013-10-24)

Price Review & Forecast 09:13:33AM Oct 25, 2013 Source:SMM

SHANGHAI, Oct. 25 (SMM) – The most active aluminum contract on the Shanghai Futures Exchange (SHFE) started RMB 490/mt lower at RMB 51,780/mt on Thursday, weighed down by falling LME copper overnight. The red metal was pushed higher by better-than-expected HSBC’s flash China manufacturing PMI, but still met resistance at RMB 51,870/mt. In the afternoon session, SHFE 1401 copper contract followed LME copper below the daily moving average to an intraday low of RMB 51,430/mt, dragged down by falling Shanghai Composite Index. SHFE copper for January delivery recovered some losses at the tail of the session due to short sellers closing positions, but still finished the day down RMB 540/mt or 1.03% at RMB 51,730/mt. Trading volumes and positions of SHFE 1401 copper contract were up 78,944 lots and 3,364 lots, respectively, while trading volumes and positions of SHFE 1402 copper contract also increased by 30,444 lots and 14,354 lots, respectively.  

 
Spot copper in Shanghai was quoted at a contango of RMB 0-140/mt over SHFE 1311 copper contract on Thursday. Traded prices were RMB 51,820-51,900/mt for standard-quality copper, and RMB 51,920-52,020/mt for high-quality copper. Upbeat HSBC’s flash China manufacturing PMI helped SHFE copper stop falling after a low opening. Contango narrowed only slightly due to ample supply. Traders and downstream producers became more interested in buying now that prices have fallen below RMB 52,000/mt. The rallying SHFE copper in the afternoon left contango for spot copper narrowing to RMB 10-80/mt, and traded prices were down to RMB 51,700-51,850/mt. Transactions continued to pick up.