SHANGHAI, Jul. 24 (SMM) – Chinese construction company Huatong Road & Bridge Group managed to repaid both the interest and principal on a short-term bond that matured Wednesday, averting another corporate bond default in China.
In the US, several listed companies reported excellent results, allowing US stocks to extend gains. However, the International Monetary Fund slashed US growth forecast from 2% to 1.7%. In addition, the euro zone consumer confidence index for July fell short of forecast, causing the euro to weaken.
LME three-month copper remained virtually stable and closed at USD 7,050/mt.
The most active SHFE copper contract opened at RMB 49,940/mt during Wednesday’s night session and moved narrowly, with resistance at RMB 50,020/mt and support at RMB 49,870/mt. The prices closed the session up RMB 80/mt at RMB 49,980/mt. Traded volumes for the most active SHFE copper contract fell to 80,000 lots, while positions continued to grow by 2,076 lots.
On July 24, SHFE 1409 copper contract may trade at RMB 49,700-50,200/mt. Spot copper may be offered between a discount of RMB 80/mt and a premium of RMB 20/mt against SHFE 1408 copper contract prices.