







SHANGHAI, Jun. 9 (SMM) – LME copper prices stayed in a narrow range and closed up USD 18/mt at USD 5,959/mt. The CFTC indicated a sharp net long position decline in copper futures and options to only 4,221, the lowest since mid-March.
China’s trade data out on Monday were mixed, with exports falling slower than expected and imports posting double-digit decline. China’s unwrought copper and copper semi imports dropped 5.3% on the year to 360,000 mt in May.
As for the Greek debt issue, markets expect the country and its creditors to reach agreement, helping bolster the euro. Meanwhile, US President Barack Obama said strong dollar may hurt the US economy, causing the US dollar index to fall. However, commodity market did not benefit therefrom.
SHFE 1508 copper contract prices opened at RMB 43,100/mt for Monday’s night session and rose to RMB 43,240/mt. However, the prices failed to break through the 5-day moving average and finally ended at RMB 43,140/mt, up RMB 60/mt. Positions dropped 520 and trading volumes slumped to about 70,000 lots.
Although the fallback in the US dollar index allowed metal prices to stabilize, copper prices still face downside risk. SHFE 1508 copper contract prices are expected to move at RMB 43,000-43,400/mt on June 9. Spot copper may be quoted at premiums of RMB 50-80/mt to SHFE 1506 copper contract in Shanghai.
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