Shanghai copper rebounded slightly and maintained a narrow range in the short term

Externally, LME copper soared to $6584.
5 after the Asian market closed, and then fell back to the opening price of $6506.
5 to rebound slightly, closing at $6532, up $44, or 0.
68%.

In terms of news, China added 1.
09 trillion yuan in new RMB loans in August, and the scale of social financing was 1.
48 trillion yuan, far exceeding market expectations
.
However, the growth rate of industrial, investment and retail consumption fell
across the board.
The industrial added value increased by 6.
0% year-on-year, the total retail sales of consumer goods increased by 10.
1% year-on-year, and the investment in fixed assets from January to August increased by 7.
8% year-on-year, all of which were lower than market expectations
.
The August data once again showed a weak economy and a strong financial situation
.
Under the poor data, the market has once again appeared in the RRR reduction debate, which also shows that there is indeed downward pressure
on the economy.

In the market, on Monday, the first trading day after the change of month, spot premiums still maintained a gradual upward rise, and speculative traders were slightly cautious
to enter the market and rise.
As the Shanghai-to-London ratio is still being revised upwards, import costs have hovered near the profit break-even point, and paying attention to the rhythm of subsequent imported copper customs entry will affect the sustainability
of spot premiums in the future market.

In terms of inventories, copper stocks increased
sharply last week due to traders handing over positions.
However, it should be noted that the increase in inventory is not the main reason for the sharp correction in copper prices, and the delivery of positions only promotes the trend
of compliance.
Because there was a collective pullback in commodities, it is clear that the pullback cannot be due to
an increase in copper stocks.
Last week, due to the end of the replenishment cycle, superimposed real estate investment will decline, and future demand will usher in an impact
.
The decline in economic data in August exceeded market expectations, but it strongly tested our logic that a collective correction in commodity markets was not immune
.
In addition, from January to August this year, domestic refined copper production only increased by 19,500 tons, the growth rate was less than 4/1,000, and the new production in the second half of the year was large, and inventories will face upward pressure
.

Overall, the external copper inventory stabilized sharply after a substantial increase, and the lead and zinc with better fundamentals rebounded again in the evening, leading the copper market to rebound slightly, but it is difficult for the copper market to improve significantly in the short term
.
It is expected that copper prices will continue to fluctuate weakly this week, and the main fluctuation of Shanghai copper is 49,000-51,000 yuan / ton
.