BC Copper 2512 Fluctuated and Closed Higher, U.S. Shutdown Bill Advances, Official Data Anticipated [SMM BC Copper Commentary]

Today, the most-traded BC copper 2512 contract opened at 76,570 yuan/mt, closing higher with bulls increasing positions. In the night session, BC copper initially fluctuated downward, touching a low of 76,340 yuan/mt, then the center of copper prices gradually shifted upward. After the day session opened, prices fluctuated upward, hitting a high of 77,310 yuan/mt, and finally settled at 76,970 yuan/mt, up 0.65%. Open interest reached 3,502 lots, an increase of 62 lots from the previous trading day, while trading volume reached 4,815 lots. On the macro front, regarding fundamentals, Trump stated uncertainty about the duration of the government shutdown, while several US Senate Democratic lawmakers revealed last Sunday they are prepared to advance a package of bills to end the shutdown, suggesting US official data may resume normal publication soon. On the fundamentals side, supply side, imported and domestic supplies saw concentrated arrivals. Demand side, after copper prices pulled back, downstream orders improved, and market demand showed signs of recovery. Inventory side, as of Monday, November 10, SMM nationwide copper inventories in mainstream regions decreased by 7,400 mt WoW to 195,900 mt.

SHFE copper 2512 contract settled at 86,480 yuan/mt. Based on the BC copper 2512 contract price of 76,970 yuan/mt, its post-tax price is 86,976 yuan/mt. The price spread between SHFE copper 2512 and BC copper is -496, maintaining an inverted spread and narrowing from the previous day.