the direction of copper

Game inside and outside the market will decide the direction of copper.

Copper:

copper market strong performance in the last week of the weak, LME cash premium fell, inventories rose, the dollar steady gains, crude oil prices in the wake of Hurricane path of uncertainty and the United States put up certificates of speech and weakness, not to the metal market How much boost, the performance of the domestic market is relatively cautious, despite the performance of the spot is still tense, the cash premium is also more stable, but there are rumors about to import large quantities of copper also dealt a blow to the market, the dips found a capital longs also took the opportunity of a number of open positions , The next spot of tension in the Chinese market is expected to improve the status, but the precondition is that the domestic market price is higher than that of the LME price, or both is to further narrow the gap, so the copper or the bonded area will also be released into the spot market, and if the domestic market price High, will also be expected from LME market buying, the prices of the domestic market this can hardly higher than the LME market, the market both inside and outside the game will determine the direction of copper. According to the consumer downturn, sell short on high price as a medium to long-term decision-making.

Fundamentals:

LME stocks this week the latest inventory data for 173,375 tons, and last week the same time as 163,800 tons, 3,325 tons by Friday. Shang Jiaosuo domestic inventory as inventory for 17,625 tons, 21,796 tons last week, last week to reduce 4,171 tons. LME inventories for February 4 to the maximum, while the Shanghai Futures Exchange copper stocks this week also decreased by 19%.

LME copper for three months showed unilateral relay premium to decline, from 100 U.S. dollars fell to 42 U.S. dollars a premium. Spot liters of water to Shanghai's high spot market prices has always been maintained at 60000-61000 yuan / ton vicinity, which makes domestic prices has been in a state of resilience. However, at present, imports of copper on the market have appeared, making the lower reaches to the recent consumption of these imports are also concerned about the amount of copper to make and market a reflection of slightly less than the will of total purchases.

According to New York on August 29 news, the International Copper Study Group (ICSG) announced the latest monthly report showed that from January to May period this year, the global copper market consumption of 15.5 tons of catching up and surpassing supply, less than the same period last year to supply 238,000 tons. ICSG 1-May that the global refined copper output was 7.553 million tons, while consumption of a total 7.708 million tons.