Shanghai copper range volatility continued to rise, momentum weakened

Externally, London copper opened at 7212.
5 US dollars / ton, early London copper hovered near the opening price, rising to 7219.
5 US dollars / ton, after the opening of the Asian market, following the domestic position reduction general downward trend, London copper turned sharply down, quickly fell to below the daily average to 7182 US dollars / ton, stop falling upward repair, but the daily average is more difficult to break through, and then the center of gravity moved down again, around 7179 US dollars / ton shock sorting, in the afternoon, the center of gravity of London copper rose to 7186 US dollars / ton, the amplitude increased, after entering the European and American session, With the decline of the dollar index, London copper gradually moved up, touching as high as 7224 US dollars / ton, and then maintained high volatility, as of 18:29, London copper was reported at 7214 US dollars / ton
.

In terms of the market, Shanghai copper under pressure to reduce positions fall, near delivery of the discount did not see an upward adjustment, the spot market stalemate unchanged, the main reason is that there are many inventories, market consumption is weak, trade market activity is also difficult to improve, the basis of the next month fell to about 160 yuan / ton, the market continued yesterday's quotation, discount 60 ~ 10 yuan / ton, after 11 o'clock, the decline in the plate intensified, almost 53,000 yuan / ton, the downstream still remained on the sidelines, no active buying, the quotation of the holder is unchanged, some traders have a low price, However, the pressurable space is limited, the supply and demand sides continue to tug-of-war, and the market is lackluster
.
In the afternoon session, the market fell, the quotations of holders remained stable, the transaction did not improve, the inquiry also cooled down, the shippers were concentrated, and the transaction was more scattered
.

In terms of stocks, as of June 12, COMEX copper stocks 231477 short tons, down 249 tons from the previous day; LME copper stocks were 295725 tonnes, down 3,775 tonnes from the previous day; As of June 13, SSE futures inventories were 141284 tons, an increase of 3,733 tons
from the previous day.

According to industry news, Southern Copper said it plans to start construction of the Michiquillay copper mine project in Peru next year and is expected to start production
in 2022 three years earlier than expected.
Located in Cajamarca in the northern Andes region, the mine has invested a total of $2.
5 billion
.
The Michiquillay project is likely to come on stream
in 2025.
In the initial service life of more than 25 years, the annual production of copper is 225,000 tons
.

At present, the expectation of a copper strike has been lowered, and the momentum of copper prices to continue to rise has weakened, of course, it is still necessary to wait for the final negotiation results
.
The impact of domestic environmental protection on copper scrap will continue to trigger supply-side contraction expectations, supporting copper prices
.
This week, the Federal Reserve will announce its interest rate decision in the early hours of Thursday, the market widely expects the United States to raise interest rates again, the dollar index rebounded, the market trading became cautious, and the short-term copper price shock is expected to run
weakly.
FYI
.