SMM Copper Market Morning Review (2015-1-28)

SHANGHAI, Jan. 28 (SMM) – LME copper prices tested a low of USD 5,400/mt and closed at USD 5,434/mt, down by USD 182/mt.

The financial results reported by large US companies, including Microsoft, Pfizer, P&G, DuPont, and Caterpillar, missed forecast, weighing down US shares. US durable goods orders fell unexpectedly in December, and investors were cautious before the Fed’s January policy meeting.

SHFE most-active copper contract opened at RMB 40,050/mt for Tuesday’s night session and dipped to a low of RMB 39,300/mt before finishing at RMB 39,350/mt, down by RMB 860/mt. Trading volumes of the most active contract were 350,000 lots, and positions surged 18,284.

SHFE 1504 copper contract is expected to trade at RMB 38,800-39,500/mt on January 28. Spot copper will quoted at discounts of RMB 0-50/mt to SHFE 1502 copper contract.