Market expectations have improved Short-term copper prices may be volatile

Today's Shanghai copper decline continued to narrow, the main month 2006 contract opened at 42320 yuan / ton, the highest intraday 42780 yuan / ton, the lowest 42310 yuan / ton, settled 42830 yuan / ton, closed 42720 yuan / ton, down 110 yuan, down 0.
26%.

The main 2006 contract of Shanghai copper traded 60,410 lots throughout the day, down 1,443 lots, and its position decreased by 665 to 111746 lots
.
In terms of external trading, during the Asian session, London copper opened low and went high, and the latest quotation at 15:00 Beijing time was 5209.
5 US dollars / ton, up 33.
5 US dollars, or 0.
65%.

In terms of the market, today's domestic spot copper prices fell, Yangtze River non-ferrous metal network 1# copper price was reported at 42850 yuan / ton, down 170 yuan, premium 110-liter 170; Guangdong spot 1# copper price was 42940 yuan / ton, down 190 yuan; Yangtze River spot 1# copper price 42930 yuan / ton, down 140 yuan, premium 200-liter 220; Shanghai spot 1# copper price was 42825 yuan / ton, down 195 yuan
.
Cargo holders generally hold up prices for shipments, traders are cautious about high premiums, terminal downstream is still digesting inventory, and market trading is relatively quiet
.
Countries have begun to ease restrictions imposed due to the pandemic and have been offering stimulus packages to support a weak economy, with demand expected to improve, and copper prices may be volatile in the short term
.

Industry News:

1, Antofagasta CEO Iván Arriagada said in an interview with the media a few days ago that the epidemic has made the market full of uncertainty, so it is difficult to predict copper prices
.
But he thinks the global copper market will have a surplus of about 200,000-300,000 tonnes
this year.
Antofagasta produced a total of 194,000 tonnes of copper in the first quarter, up 2.
9% year-on-year and 4.
6%
month-on-month.

2.
The Baltic Dry Index fell 23 or 3.
8 percent to 575 points on Tuesday, its lowest level since March 30, after falling for 11 consecutive days
due to weak demand for strait and Panamax vessels.
The Capesize Index fell 74 points, or 10 percent, to 669, the eighth straight day of declines, with average daily profit down $535 to $6,257
.
The Panamax index fell 10 points to 692, the 12th straight day of declines, with average daily profit falling by $87 to $6,228
.

During the festival, overseas non-ferrous metals showed a decline first and then repair, there was no obvious disturbance in the fundamentals of the industry, and the market as a whole followed the
fluctuations of the equity market.
Shanghai copper is expected to remain dominated by strong shocks in the short term, because on the one hand, the current downstream peak season effect is still obvious, and the high-rise water stack strengthens destocking, giving upward momentum, but on the other hand, the market's long-term fundamental expectations are generally weak, and the price upward is not smooth
.