SHANGHAI, Jul. 29 (SMM) – Chinese A-shares rose 3.0% last week due to upbeat data from China which indicated China’s pro-growth measures have produced fruits. SHFE 1409 copper contract price tracked LME copper last week, hitting a low of RMB 49,200/mt before bouncing back to RMB 51,000/mt, posting a 2.2% gain. Trading activities in night sessions sagged with shorts leaving the market and watching from the sidelines. Both trading volumes and holdings in SHFE copper contracts declined. SHFE copper prices will move higher to RMB 51,000/mt this week and test a high of RMB 51,500/mt aided by momentum from LME copper and shorts’ profit-booking.
Cargo holders in China’s physical copper market only sold at higher prices last week, with most transactions made at about RMB 50,000/mt. Some traders were seeking cheaper goods, especially those offered at large discounts.