Will the Bank of Japan continue to raise interest rates? Copper prices are expected to have bottom support [SMM Copper Morning Comment]

LME copper opened at $9,009.5/mt overnight, with the initial focus dropping to $8,958/mt. It then fluctuated upward, reaching a high of $9,106/mt at the end of the session, and finally closed at $9,094.5/mt, up 1.38%. Trading volume reached 17,000 lots, and open interest was 276,000 lots. Overnight, the most-traded SHFE copper 2412 contract opened at 73,550 yuan/mt, initially dipping to 73,510 yuan/mt amid fluctuations. It then fluctuated upward, reaching a high of 74,100 yuan/mt at the end of the session, and finally closed at 74,030 yuan/mt, up 0.27%. Trading volume reached 21,000 lots, and open interest was 133,000 lots. Macro side, Bank of Japan Governor Kazuo Ueda stated that if the economy and prices meet expectations, the Bank of Japan will continue to raise interest rates and adjust the intensity of monetary support. The US dollar index weakened again, and copper prices rose. Fundamentally, in the short term, orders for copper semis perform well, and spot consumption maintains moderate growth. It is also worth noting that due to the widening Shanghai-Guangdong price difference, northern goods have started to flow southward, which may suppress premiums in South China. As of Monday, November 18, SMM copper inventories in national major regions decreased by 5,100 mt compared to last Thursday to 159,200 mt, but total inventories were 103,900 mt higher compared to 55,300 mt in the same period last year. Looking ahead, it is reported that both imported and domestic copper arrivals will be less than last week. Overall, with moderate recovery in recent consumption, copper prices are expected to have bottom support.