Consumption continues to be weak and copper prices to lack support [SMM Copper Morning Comment]

LME copper prices opened at $8863/mt and closed at $8863.5/mt last evening, up 0.01%. Quotes for highest of $8976/mt and the lowest of $8835.5/mt. Trading volume was 15,000 lots, and open interest stood at 310,000 lots. SHFE 2405 copper opened at 72250 yuan/mt overnight and fell to 71940 yuan/mt after rising to 72300 yuan/mt, closing at 72210 yuan/mt, up 0.10%. Trading volume was 26,000 lots, and open interest stood at 189,000 lots. On the macro front, the annualised S&P/CS house price index in 20 major cities in the United States in January and the monthly rate of the FHFA house price index in the United States in January were both lower than expected. The U.S. consumer confidence index also fell slightly in March, dragging down the U.S. Index, pushing up copper prices. In terms of fundamentals, in terms of consumption, the slow recovery of terminal consumption coupled with the continued impact of holding costs, dampened downstream purchasing sentiment. If copper prices can fall further, consumption may gradually recover. Overall, supply remains adequate. In terms of price, copper prices are expected to lack support under the influence of continued weak consumption.