The situation in the Middle East escalates again with air strikes; copper prices are expected to have bottom support today [SMM Copper Morning Comment]

    SMM June 23 News: On Friday evening, LME copper opened at $9,628.5/mt, surging to a high of $9,700/mt in the early session, then fluctuating downward, hitting a low of $9,621.5/mt during the session, and experiencing a slight correction towards the end, ultimately closing at $9,660.5/mt, up 0.43%. Trading volume was 16,794 lots, and open interest was 288,717 lots. The overall trend was a surge followed by a pullback, then a fluctuation upward. On Friday evening, the SHFE copper 2507 contract opened at 78,480 yuan/mt, hitting a high of 78,580 yuan/mt in the early session, fluctuating downward to a low of 78,260 yuan/mt during the session, and ultimately closing at 78,380 yuan/mt after some fluctuations towards the end, up 0.26%. Trading volume was 18,246 lots, and open interest was 162,379 lots. The overall trend was a high hit followed by a fluctuation downward. On the macro front, Trump: The US military conducted air strikes on three major Iranian nuclear facilities, including Fordow, and Iran must immediately agree to end this war. Iranian Foreign Minister: Even if nuclear facilities are destroyed, they can be rebuilt, and technical knowledge "cannot be bombed away." The Iranian parliament favors closing the Strait of Hormuz, and the Houthi rebels have stated they will resume attacks on US ships. Meanwhile, Trump questioned why the Iranian regime cannot be overthrown. Due to the uncertainty of the Middle East war, copper prices opened high and closed higher. On the fundamental side, the price spread between futures contracts widened, and warrants flowed out. As the semi-annual settlement approaches, it is expected that under the demand for enterprises to ship goods and receive payments, the premium will further decline. Overall, amidst the uncertainty of the global economic outlook, it is expected that there will still be support at the bottom of copper prices today.