Copper prices rose as US job market cools

LME copper prices opened at $8138.5/mt and closed at $8176.5/mt in overnight trading, a gain of 0.88%, with the low-end of $8123.5/mt and the high-end of $8180/mt. Trading volume was 17,000 lots, and open interest stood at 262,000 lots. The most active SHFE 2312 copper contract prices opened at 67530 yuan/mt and closed at 67480 yuan/mt last evening, down 0.01%, with the high-end of 67660 yuan/mt and the low-end of 67440 yuan/mt. Trading volumes stood at 21,000 lots and open interest stood at 153,000 lots.

On the macro front, initial jobless claims in the United States recorded 217,000 in the week to October 28, a new high since the week of September 9; continued jobless claims last week increased for the sixth consecutive week, indicating that it started to be harder for the unemployed people to find a new job. In terms of fundamentals, the supply of goods in East China has been replenished, and the premiums and discounts shifted downwards, but the enthusiasm of some downstream companies to buy goods was still limited. In terms of consumption, copper prices has shifted downwards, with more downstream buyers stood on the sidelines, with demand expected to shrink compared with before. In terms of price, European and US central banks have recently suspended interest rate hikes, and copper prices are expected to remain within the current range.