Support for copper prices from fundamentals to weaken in November as off-season sets in

The Federal Reserve paused interest rate hikes in November. The weak US employment data pointed to a cooling labour market. As such, the US dollar fell below the 105 mark again. However, the downbeat economic data in Europe grew the risk of economic recession, boosting the US dollar. And Fed officials still have reservations about the decision to raise interest rates in December, with markets focusing on US CPI data in November. The favourable macroeconomic environment in China is expected to provide support for copper contract prices. SMM predicts that copper consumption will weaken in the off-season of November, and the support for copper prices from fundamental will be weaker than in October. LME copper is expected to trade between $8,000-8,250/mt in November and SHFE copper prices will fluctuate between 66,500-68,000 yuan/mt.