[brief comment on copper in SMM] the market expects the Federal Reserve to cut interest rates to weaken copper prices and stabilize under pressure.

SMM, July 17: today, Shanghai Copper main contract 1909 opened in the morning at 46840 yuan / ton, after the opening of the market trend is stable, in 46840 between 46920 yuan / ton between a narrow range of shock finishing, the center of gravity maintained at 46900 yuan / ton near shock, until the afternoon. In the afternoon, the disk first maintained the concussion finishing situation, and the center of gravity remained around 46860 yuan / ton. Subsequently, it fell slightly to the lowest level of 46780 yuan / ton in the day, and recovered at the end of the day and closed at 46860 yuan / ton. It fell 90 yuan per ton, or 0.19 percent. Today, the position of the main contract increased by 906 to 246000, mainly by short positions, while trading volume increased by 53000 to 175000. The Shanghai Copper Index lost 3120 positions to 573000 today, mainly reflected in the month's 08 contract positions, while trading volume increased by 76000 to 290000. The overall performance of Shanghai copper today was volatile, mainly due to weaker market expectations for the Fed to cut interest rates. Today, the US dollar hit the 97.5 mark, and copper prices were weak under pressure. The trend of crude oil stabilized today, with further attention to the contradiction between the United States and Iraq, as well as the changes in EIA crude oil stocks announced tonight, which form a guide to the further trend of copper prices. At present, Shanghai copper is overcast, supported by the EMA at the bottom, the 60-day EMA above, the opening of the KDJ index, and a small negative copper price on the technical side. In the evening, wait for the guidance of the outside market to test whether Shanghai Copper can stand at the 46800 yuan / ton gate.

(SMM Song Yao)