SHANGHAI, Mar. 13 (SMM) – LME copper prices broke through resistance at the 30-day moving average and hit USD 5,884/mt Thursday before finishing at USD 5,843/mt, up USD 118/mt.
China’s RMB lending in February exceeded forecast. US initial jobless claims fell to a refreshed three-week low of 289,000 in the week ending March 7, while its retail sales declined a seasonally adjusted 0.6% in February, down for a third straight month, cooling expectation for an early interest rate hike. Besides, bank stocks led gains in US shares after the stress test.
SHFE most-active copper contract started higher at RMB 42,710/mt for Thursday’s night session helped by the rally in LME copper. The prices gave back some gains after touching RMB 42,790/mt as crude oil prices kept slipping, and ended the session at RMB 42,510/mt, up RMB 420/mt. Positions in the May delivery copper increased 4,104, and trading volumes were 183,246 lots. Support has formed at RMB 42,460/mt.
SHFE 1505 copper contract should trade at RMB 42,400-43,000/mt on March 13. Spot copper may be quoted at discounts of RMB 20-100/mt to SHFE 1503 copper contract.
