SHANGHAI, Sept. 24 (SMM) –SHFE 1511 copper touched a high of RMB 39,180/mt after starting Wednesday evening session at RMB 38,950/mt. Later the contract fell back due to slumping crude oil prices before ending at RMB 38,650/mt, down by RMB 10/mt or 0.03%. Positions dropped 3,924 with trading volumes around 290,000 lots.
SHFE copper drifted higher to RMB 38,800/mt on Thursday and met resistance at RMB 38,870/mt, to close at RMB 38,850/mt, up RMB 190/mt or 0.49%. Positions fell 4,342 to 186,212 and trading volumes were around 560,000 lots. Positions for SHFE 1512 copper totaled 185,404.
Expectation for traditional peak season and supply cut is gradually weakened by China’s poor PMI data. Investors will exit market for safety before China’s week-long National Day holiday. However, pre-holiday stocking by downstream buyers and purchase at lows by investors should lend support to copper prices.