SHANGHAI, Jul. 3 (SMM) – The June US nonfarm payroll data released Thursday missed forecast and figures for May and April were revised downward. The US dollar weakened as a result. However, sharp declines in crude oil prices limited any rises in base metals. LME copper only increased USD 21/mt and ended at USD 5,783/mt.
SHFE 1509 copper contract opened at RMB 42,290/mt and rose to RMB 42,470/mt Thursday night. The prices then gave back earlier gains and ended the session at RMB 42,300/mt, up RMB 110/mt. SHFE 1509 copper contract positions declined 1,342 and trading volumes were about 100,000 lots. SHFE copper prices still outperformed LME copper as copper supply in China’s spot market was relatively tight.
SHFE 1509 copper contract may trade at RMB 42,100-42,500/mt on July 3. Spot copper may be offered at premiums of RMB 210-260/mt to SHFE 1507 copper contract with bullish cargo holders quoting high.
