SHANGHAI, Jun. 23 (SMM) – Without major news and economic releases last Friday, LME copper prices extended gains in Asian trading hours, meeting resistance at USD 6,800/mt, and closed up USD 85/mt at USD 6,820/mt.
Boosted by a surge in LME copper prices, SHFE copper prices advanced to a high of RMB 49,360/mt after starting last Friday’s night session at RMB 48,690/mt. During the night session, the metal fell to as low as RMB 48,670/mt at one stage, but finished up RMB 740/mt at RMB 49,200/mt. Trading volumes for the most active SHFE copper contract spiked to 160,000 lots, and positions expanded by 4,848 lots. Trading volumes for the SHFE 1409 copper contract increased sharply to 100,000 lots.
On Monday, LME copper prices are expected to move between USD 6,780-6,840/mt in Asian trading hours, and the most active SHFE 1408 copper contract is set to hover between RMB 48,600-49,400/mt. Meanwhile, physical copper prices should trade at a RMB 700-850/mt premium over the SHFE 1407 copper contract, since some hedged copper supply is tied up in the futures market.