[brief Review of SMM Copper Futures] tensions between China and the United States have escalated and oil prices have fallen back. Shanghai Copper is under pressure and gives up yesterday's gains.

SMM, May 27th:

Today, the main force of Shanghai copper opened at 43840 yuan / ton in the morning, and the copper price fell slightly to 43810 yuan / ton after the opening, and then the bullish positions led the copper price to rebound, and then fluctuated horizontally around 43870 yuan / ton, closing at 43890 yuan / ton in midday trading. At the opening of the afternoon, the short positions were superimposed by long positions, and the copper price fell sharply to 43660 yuan / ton. after a little repair, it fell sharply again, from 43750 yuan / ton to the intraday low of 43500 yuan / ton. Near the close of trading, short profits led to a slight rebound in copper prices, which finally closed at 43640 yuan / ton, down 160yuan / ton, or 0.37%. Today, the main contract of Shanghai Copper reduced its positions in the day by 859 to 104000, mainly by long positions; trading volume decreased by 48000 to 99000; and the Shanghai Copper Index increased its positions by 1186 to 327000, mainly by short positions. Tensions between China and the United States have further escalated, with the market paying more attention to the Hong Kong issue, and Trump said the United States is preparing to respond forcefully to the legislation of China's Hong Kong version of the national security law. Global investors are worried about the trade relationship between the two countries, and market risk appetite has been suppressed. Today, the RMB has depreciated sharply, and the offshore RMB exchange rate has hit the 7.17 mark, also putting pressure on the copper market. In addition, the fall in oil prices has also weighed on the price of copper. From a fundamental point of view, today, the General Administration of Customs announced the import volume of electrolytic copper for refined copper in April, which rose slightly from the previous month, but recorded a decline of 2.32% compared with the same period last year, and the market's concern about copper oversupply has relatively weakened the fundamental support for copper prices. Shanghai copper overcast today, giving up all yesterday's gains, fell off the 5-day moving average, but there is still a 10-day moving average below. Wait for the outer disk guidelines at night to test whether Shanghai Copper can hold the 43500 yuan / ton mark.