SHANGHAI, Aug. 20 (SMM) – LME copper prices touched a low of USD 4,976/mt and closed at USD 5,005/mt Wednesday, down by USD 15/mt.
The US housing starts grew fast in July, boost confidence at house developers. However, the US dollar index fell as the minutes from FOMC meeting showed many Fed officials believed more evidence is needed before an interest rate hike.
EIA reported sharp growth in crude oil inventories, pushing down crude prices.
China’s stock market tumble and poor performance of listed companies left investors anxious.
SHFE 1510 copper contract started lower at RMB 38,480/mt for night trading Wednesday, and then drifted higher to RMB 38,690/mt before following LME copper down to RMB 38,330/mt. The most active contract ended the session at 38,610/mt, up RMB 150/mt. Positions increased 936, and trading volumes were around 197,000 lots.
SHFE 1510 copper contract may trade at RMB 38,300-38,800/mt on August 20. Spot copper will be quoted between a discount of RMB 10/mt and a premium of RMB 40/mt to SHFE 1509 copper contract.