Overnight Copper Prices Fluctuated and Rose, with Solid Bottom Support [SMM Morning Comment on Copper]

SMM March 12 News: Overnight, LME copper opened at $9,619/mt, initially edged higher before pulling back to an intraday low of $9,608.5/mt. It then fluctuated upward, reaching an intraday high of $9,679/mt near the close and finally settled at $9,679/mt, up 1.96%. Trading volume reached 18,000 lots, and open interest stood at 300,000 lots. Overnight, the most-traded SHFE copper 2504 contract opened at 78,420 yuan/mt, fluctuated rangebound initially, then dipped to an intraday low of 78,270 yuan/mt. It later moved upward and fluctuated rangebound near the close, hitting an intraday high of 78,600 yuan/mt before finally settling at 78,500 yuan/mt, up 0.91%. Trading volume reached 23,000 lots, and open interest stood at 157,000 lots. Macro side, Trump announced plans to double the 25% import tariff on Canadian metals, but White House officials later stated that this plan would not be implemented. Following the release of conflicting tariff news, market trading fluctuated, U.S. stocks fell, and the US dollar index hit a new low, providing support for copper prices. Fundamentally, copper prices pulled back from highs yesterday, while downstream orders showed some recovery. Some enterprises reported a slight increase in purchasing demand, but finished product inventories at plants remained at high levels, with destocking pressure persisting. In the spot market, trading sentiment only slightly improved, with most traders and downstream enterprises purchasing as needed. Overall, the market supply-demand imbalance persists, limiting the upside room for copper prices, though bottom support remains relatively solid.