SMM Copper Market Morning Comment (Jul 25)

LME copper opened at $9,174.5/mt overnight, initially reaching a high of $9,174.5/mt, then touching a low of $9,050/mt at the end of the trading session, and finally closed at $9,050.5/mt, down 1.16%. Trading volume reached 22,000 lots, and open interest reached 297,000 lots. The most-traded SHFE 2409 copper contract opened at 74,800 yuan/mt overnight, initially reaching a high of 74,800 yuan/mt, then touching a low of 74,130 yuan/mt at the end of the trading session, and finally closed at 74,180 yuan/mt, down 0.88%. Trading volume reached 56,000 lots, and open interest reached 182,000 lots. Macro side, LME copper inventories continued to increase and market concerns about consumption intensified, impacting copper prices. The market saw an increase in selling, and open interest in copper futures continued to decline, leading to a sustained drop in copper prices. Fundamentals side, as copper prices continued to fall, more downstream companies adopted a wait-and-see attitude, and sellers faced some pressure to offload their stocks. Attention is on when copper prices will rebound. Price side, with strong market concerns, copper prices face significant upward pressure.