May 28 Copper Market Brief Review

Industry news: Copper prices are close to 2019 lows, copper investors need to worry about more than just the international situation
.
Zambia, which accounts for 4% of global copper production, could be threatened by the drying up of rivers, putting copper supplies at risk
.
The country's courts are considering a change of ownership of the local copper business in Vedanta, which accounts for 0.
5%
of global copper supply.
Citi said the supply growth of these assets is clearly problematic
.
Shipments are currently blocked by villagers in Las Bambas, Peru, which accounts for 2%
of global copper production.

On the news, the United States in April durable goods data is not good, causing sustained economic concerns in the later period, the dollar rushed back down, forming a certain release on copper prices, and the overall rise of the domestic stock market on this day, the market confidence also brought a certain boost, good for copper prices to form a rebound
.
On the fundamental side, the tight supply of refined copper is expected to support the price again, and in the absence of a large increase in consumption, it will dissipate with the peak demand season, and the domestic counter-cyclical regulation may become the main force driving the price in the later period
.

Concerned about the further transformation of Sino-US trade negotiations into technology frictions, although Trump recently released a signal of détente, copper prices are still
more likely to be priced by macro.
It is expected that Shanghai copper will still show a strong trend of volatility in the near future, with a range of 4.
7-47,500, and tomorrow's price will be closer to the pressure level, it is recommended to be cautious in operation, and the downstream just needs to be stocked
.