SHANGHAIM, Jul. 28 (SMM) – On Friday, SHFE 1709 copper opened at RMB 50,060/mt and then dipped to RMB 49,550/mt. The contract later rallied with positions closing by shorts and closed at RMB 49,940/mt, down RMB 210/mt. Positions reduced 9,758 to 198,000 and trading volumes dropped 9,566 to 258,000 lots. Positions of all SHFE copper contracts decreased 6,834 to 715,000.
There is a low chance for copper prices to advance further as news of “category 7” scrap metal import ban will be digested by market participants gradually. The contract will hover at highs in as short term. Eyes should be on US’s fresh reading of real GDP in Q2 and Michigan consumer sentiment index in July on Friday night.