Domestic and international copper prices fell sharply, as a stronger US dollar combined with dual weakness in supply and demand weighed on futures. [SMM Copper Morning Comment]

SMM July 24 news: Overnight, LME copper opened at $13,740/mt, briefly touched a high of $13,764/mt at the open, then its price center shifted lower in a volatile manner, dipping to $13,560/mt near the end of the session, and finally settled at $13,566/mt, down 1.74%. Trading volume reached 20,000 lots, and open interest stood at 247,000 lots, an increase of 1,022 lots from the previous trading day, reflecting a buildup of short positions. Overnight, the most-traded SHFE copper 2609 contract opened at 105,100 yuan/mt, briefly rose to 105,290 yuan/mt at the open, then the price center moved straight down to touch a low of 104,310 yuan/mt, and later moved sideways to finally settle at 104,530 yuan/mt, down 1.4%. Trading volume reached 67,600 lots, and open interest stood at 212,000 lots, a decrease of 12,500 lots from the previous trading day, reflecting a reduction in long positions. On the macro front, Trump said he was "seriously considering" restarting large-scale military operations against Iran and was close to a decision, warning that Iran would be held accountable if Houthi forces attacked ships again. On the trade front, the US imposed tariffs ranging from 10% to 12.5% on 60 economies to replace the global import tariffs that were about to expire. On the economic data front, initial jobless claims fell to 187,000, below the expected 212,000, and the job market remained resilient. Driven by expanding fears of Middle East conflicts, the implementation of tariff policies, and strong jobs data, the US dollar index rose, and copper prices fell under pressure. On the fundamentals front, the supply side saw an increase in available materials, with small inventory buildups in Shanghai and Jiangsu, marginally weakening the low-inventory support logic; the demand side was constrained by the off-season consumption and high copper prices, leading to sluggish downstream purchasing and overall weak performance. Overall, copper prices are expected to consolidate within a narrow range on a subdued note today.