SHANGHAI, Jun. 27 (SMM) – On Thursday, last week’s US jobless claims and the Kansas City Fed June Manufacturing Composite Index Slow were both reported lower than expected, but personal consumption expenditure hit a 12-month high. President of St. Louise Fed James Bullard said the US inflation is expected to reach 2% by the end of the year, and predicted that the Fed will raise interest rate in Q1 2015. In response, US stock prices edged lower. LME three-month copper remained above USD 6,900/mt, and closed up USD 25/mt at USD 6,947/mt after hitting a high of USD 6,955/mt.
The September-delivery copper on SHFE started Thursday’s night trading at RMB 49,540/mt, and challenged a high of USD 49,770/mt before finishing at RMB 49,630/mt, up RMB 220/mt. Traded volumes for he most active SHFE copper contract were stable at around 150,000 lots, and positions continued to climb and posted a 10,766-lot rise.
On June 27, SHFE 1409 copper contract prices are expected to move between RMB 49,400-49,800/mt. Spot premiums in China’s copper market may be RMB 150-350/mt, and the price gap between high-quality and standard-quality copper will narrow slightly.