Brief comment on SMM
Copper in Shanghai opened high within the day, and the rally continued at the opening, and the non-ferrous metals market as a whole floated red today. The main reason was that last week, due to the continuous spread of the global epidemic and excessive panic in the capital markets, the panic this week came to an end, and the market returned to rationality. At the same time, the overall performance of the domestic epidemic control was good, and the resumption of work by domestic enterprises increased significantly. The superimposed central bank made great efforts to invest in infrastructure, and market confidence was boosted. Support copper prices back above the 45000 level. Today, the Shanghai copper main contract 2004 jumped high in the morning to open at 44680 yuan / ton, the opening continued to rise as a whole hovered above the daily average, the opening copper price continued to rise in the afternoon, but the trend slowed down, the end of the day fell slightly and closed at 45230 yuan / ton, up 420 yuan / ton, up 0.94%. Shanghai copper index position increased by 603 hands to 369000 hands, mainly for the long increase in positions; trading volume decreased by 76000 hands to 203000 hands.
SMM believes that at present, Shanghai copper to close the balcony, MACD green column shortened, the technical side has improved, but still need to guard against panic catharsis does not mean that the risk weakens, in fact, the trend of epidemic spread abroad is still expanding, and the peak is unpredictable, the risk is still high, test whether Shanghai copper can continue to hold 45200 yuan / ton near the high level.
Spot market
Today, Shanghai electrolytic copper spot to the current month contract discount 120 yuan / ton ~ 80 yuan / ton, Pingshui copper transaction price 44640 yuan / ton ~ 44900 yuan / ton, Shengshui copper transaction price 44660 yuan / ton ~ 44920 yuan / ton. Shanghai copper low open high walk all the way up, the month contract returned to 45000 yuan / ton near, the first trading day in March, corporate capital pressure eased, at the same time the morning market is still less than 44750 yuan / ton, boosting market consumption, so traders have significantly raised their quotations compared with last week. Morning market inquiry activity is high, price discount 120 ~ discount 80 yuan / ton, Pingshui copper favor is slightly better than good copper, low price Pingshui copper is quickly collected, after Pingshui copper is stable around 110 yuan / ton, good copper quotation is stable in the sticker 90 yuan / ton first line, good copper buy less than flat copper; wet copper narrower than last Friday, the quotation around sticker 180 yuan / ton or so. Copper futures are still low, the market is full of expectations for the resumption of consumption in March, the performance of holders high prices, downstream bargain buying increased, traders finally got rid of the stalemate pattern since last week, activity significantly improved, the overall trading has improved significantly.
Today, Guangdong electrolytic copper spot to the current month contract 150 ~ 130, wet copper discount 210 ~ 200. The average price of electrolytic copper fell 125yuan / ton to 44580 yuan / ton, and the average price of wet copper fell 115yuan / ton to 44515 yuan / ton. In the spot market, copper prices are low and high today, and shippers are not willing to ship goods. Driven by the sharp rise in Shanghai Shengshui, Guangdong holders have also offered to ship goods one after another. Today, the price of copper in Pingshui rose, and there was still a low source of goods in early trading (- 160 yuan / ton), but it was soon wiped out, and the mainstream transaction price rose to-150 yuan / ton. Due to fewer shippers in the second quarter, some shippers raised their quotations to-140 yuan / ton, but the consignees were afraid of being high and the actual transaction was limited. In addition, today's good copper and wet copper quoted for-130 yuan / ton and-210 yuan / ton, insufficient demand for good copper and flat copper price difference further narrowed. Overall, the market trading is more active today, but the main transactions are concentrated among traders, the main reason is the active arbitrage of bills with abundant funds at the beginning of the month.
Yangshan copper
Today's warehouse receipt quotes US $55-65 / ton, bill of lading quotes US $47-62 / ton, QP April. LME0-3 discount of US $17.75 / ton, import loss of about 300 yuan / ton. On Monday morning, market activity was low, buyers and sellers were relatively light, and market traders were basically back to work this week, but market activity was still limited by market demand. Today's market quotation is basically the same as last Friday, because the market is light, there is no obvious change. Last week, copper stocks in the Shanghai Free Trade Zone continued to increase by 6800 tons to 337300 tons from the previous month, and rebounded for four consecutive weeks after the Spring Festival, an increase of 44800 tons from January 23 before the Spring Festival. At present, the port capacity is still tense, and the storage speed is affected. In addition, the outbreak led to a setback in domestic consumption, with more than 60, 000 tons of LME surrendered this week, with imports of copper transferred overseas. The superimposed part of the import shipping date has been delayed, the amount of imported copper to Hong Kong has been reduced, and the pressure of bonded storage has been alleviated. At present, the transaction price of good copper warehouse receipt is about 65 US dollars / ton, mainstream fire method 63 US dollars / ton, wet method 55 US dollars / ton, good copper bill of lading 62 US dollars / ton, mainstream fire 58 US dollars / ton, wet method 47 US dollars / ton.
Scrap copper
Updating.
Stock
LME copper stocks today were 216950 tonnes, down 1225 tonnes, or 0.56 per cent, from the previous trading day.
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