SHANGHAI, Oct. 27 (SMM) – LME copper prices mainly moved around USD 6,680/mt last Friday and closed up USD 15/mt at USD 6,684/mt.
As China’s new commercial housing sales fell in September, some market players expected the government to introduce more pro-growth measures. In the US, new home sales increased 0.2% on the month in September, and market was little affected. US shares rose sharply due to positive financial reports and the rally in health care stocks following news on Ebola. The Dow climbed 2.6%, and Nasdaq posted a 5.3% rise, and S&P 500 increased 4.1%.
In other news, the International Copper Study Group projects that global copper market will witness deficit in 2014 despite a surplus reported in July.
The most active SHFE copper contract opened at RMB 47,430/mt during night session last Friday. The prices met resistance at RMB 47,500/mt and tested a low of RMB 47,200/mt before ending at RMB 47,250/mt, down RMB 30/mt. Trading volumes of the most active contract were about 130,000 lots, while positions rose by 3,090 lots.
SHFE 1501 copper contract may trade at RMB 47,100-47,500/mt on October 27. In China’s physical markets, copper will be offered at premiums of RMB 30-50/mt against SHFE 1411 copper contract prices.