SunSirs--China Commodity Data Group

Sign In

Join Now

Home > Commodity News > News Detail
Commodity News
SunSirs: Chinese Copper Prices Rose Slightly, Boosted by OPEC+ Production Cut Agreement
June 10 2020 08:02:25SunSirs(Linda)

1. Trend Analysis  

 

As shown in the chart above, on June 8, spot copper prices were 45,743.33 yuan/ton, up 1.66% from June 7, down 6.71% from the beginning of the year, and down 0.68% year-on-year. LME copper 3-month contract pressure rebounded after reversing $5,618, closing at $5,676.5, an increase of 0.31%. The main contract of Shanghai Copper rebounded after a callback of 45,430 yuan, and rose to a high of 45,960 yuan in the afternoon. It weakened again and closed at 45,800 yuan, an increase of 1.28%.

2. Market analysis

Linked by a sharp rebound in international crude oil prices, OPEC+ agreed to extend the historic production cut by one month, and market risk appetite was boosted, boosting US oil and Brent oil continued to rise. In addition, the US non-agricultural data in May far exceeded expectations, enhancing the expectation that the economy will rebound quickly after the blockade is lifted. Under this boost, industrial products have risen and metal prices have strengthened. However, domestic demand is about to enter the off-season in June. Since the resumption of domestic production, nonferrous metals have faced upward pressure, downstream consumption is still weak, traders have difficulty in transactions, and the operating rate of refined copper rods in the country has declined month-on-month, but the power industry still has support.

3. Outlook

In view of the above situation, copper analysts of SunSirs Nonferrous Branch believe that copper prices have risen due to macroeconomic stimulus, but domestic demand is facing a low season, fundamentals are expected to weaken, and copper prices are expected to fluctuate at a high level.

Related listed companies: Jiangxi Copper (600362), Tongling Nonferrous Metal (000630), Yunnan Copper (000878).

If you have any questions, please feel free to contact SunSirs with support@sunsirs.com.

8 Industries
Energy
Chemical
Rubber & Plastics
Textile
Non-ferrous Metals
Steel
Building Materials
Agricultural & Sideline Products