SHANGHAI, Sept. 18 (SMM) – LME copper kept fluctuating during European and US trading hours with closing price up USD 5/mt at USD 5,395/mt. Investors stayed wary ahead of the release of US interest rate meeting minutes.
SHFE 1511 copper started Thursday evening session at RMB 40,940/mt and then drifted higher to RMB 41,200/mt. Later, the red metal struggled around RMB 41,100/mt and fell back near session’s end, to close at RMB 41,050/mt, down by RMB 10/mt.
The earthquake in Chile gave no solid support to copper prices. US dollar ended down 1% following US interest rate meeting yesterday evening. But COMEX copper finally still slipped from highs despite the sliding dollar. Commodity prices stay weak except gold and silver prices. Any rally in commodity prices will be curbed by poor demand.
US Fed announced to keep interest rate unchanged on the Sept.’s FOMC meeting overnight. LME copper meets resistance at highs and should move between USD 5,360-5,440/mt during Asian trading hours. Chinese A-shares dropped yesterday and SHFE 1511 copper may range between RMB 40,700-41,200/mt on Sept. 18. In China’s spot market, cargo holders are eager to sell before weekend and thus spot premiums may narrow to RMB 0-60/mt.