SHANGHAI, Sept. 15 (SMM) – LME copper tested a low of USD 5,275/mt during European and US trading hours and finally closed USD 90/mt lower at USD 5,293/mt.
Economic figures from China missed forecast and Chinese A-shares posted a slip on Monday, reigniting worries about a slowdown in China’s economy. Besides, investors stayed cautious before US Fed’s meeting on Friday.
For night trading Monday, SHFE 1511 copper started lower at RMB 40,510/mt with LME copper falling below the 5 and 60-day moving averages overnight. November-delivery copper on the SHFE later advanced to RMB 40,690/mt before dipping to RMB 40,340/mt, to end the session down RMB 400/mt at RMB 40,470/mt. Positions decreased 5,266 to 199,938 and trading volumes were around 210,000 lots.
China’s poor fixed asset investment data issued yesterday dragged down Chinese A-shares, weighing down copper prices. A slump in crude oil prices also depresses commodity prices.
With the overall bearishness in market and a lack of major reports on Tuesday, LME copper will range between USD 5,270-5,340/mt during Asian trading hours. SHFE 1511 copper is likely to fluctuate in RMB 40,200-40,700/mt on Sept. 15 in response to movement in Chinese stock market. On the last trading day for SHFE 1509 copper, spot copper in China will quote between discounts of RMB 20/mt and premiums of RMB 30/mt over SHFE 1509 copper.