BC Copper 2511 Closed Higher with a 1.37% Gain, Market Focuses on Tomorrow's US Fed Decision [SMM BC Copper Review]

Today, the most-traded BC copper 2511 contract opened at 77,660 yuan/mt, closing higher with bears reducing positions. In the night session, BC copper opened at the low of 77,660 yuan/mt, then fluctuated upward. After the day session opened, the center of copper prices gradually moved higher, touching a high of 79,540 yuan/mt, and finally settled at 79,240 yuan/mt, a gain of 1.37%. Open interest reached 3,674 lots, down 327 lots from the previous trading day, while trading volume reached 6,129 lots. On the macro front, the ongoing US government shutdown heightened market uncertainty, weighing on the US dollar and supporting copper prices; the market currently focuses on tomorrow's US Fed interest rate decision. On the fundamentals, supply side, both high-quality copper and SX-EW copper were scarce, and standard copper supplies were quickly consumed after entering the market, indicating overall tightness; demand side, as copper prices rebounded to high levels, market purchase willingness remained sluggish.

SHFE copper 2511 contract settled at 88,680 yuan/mt. Based on the BC copper 2511 contract price of 79,240 yuan/mt, its after-tax price is 89,541 yuan/mt, resulting in a price spread of -861 between SHFE copper 2511 and BC copper. The spread remained inverted and widened compared to the previous day.