Shanghai copper rose strongly, and the increase expanded significantly

In the external market, Asian London copper rushed back down, partially cut the overnight rally, of which the 3-month London copper traded at 6580-6522 US dollars / ton, slightly down 0.
44% to 6525 US dollars / ton, the current London copper hit a high since November 27, 2014, its performance is slightly weaker than Shanghai copper
.
In terms of positions, on August 15, the position of London copper was 342,000 lots, a daily decrease of 5,423 lots, which was a decrease for two consecutive days, and the decline of London copper rose, indicating that the rise was mainly driven by short covering
.

On the macro front, the Asian dollar index extended its narrow range and is now trading around
93.
5.
The minutes of the Fed's July FOMC monetary policy meeting showed that there is a high probability of announcing the timing of the balance sheet reduction in September, and it is still unclear whether the Fed will raise interest rates again this year, as Fed officials are concerned about low inflation
.
In terms of copper industry information, data from the World Bureau of Metal Statistics showed that the global copper market supply shortage from January to June this year was 41,000 tons, and the supply shortage last year was 68,000 tons, of which the global refined copper production from January to June was 11.
67 million tons, an increase of 1.
6% year-on-year, and consumption was 11.
71 million tons, a year-on-year decrease of 170,000 tons
.

In terms of the market, on August 17, Shanghai electrolytic copper spot traded at a discount of 140-90 yuan / ton for the contract of the month, and the transaction price of flat water copper was 51020-51100 yuan / ton
.
Holders maintained yesterday's level quotations in the morning market, most of the hedging orders were trapped, and the metal trend rose, and it was difficult
to trade.
After 10 o'clock, the market quotation took the lead in starting from the good copper discount and lowering the discount, the good copper discount was 110-100 yuan / ton, the transaction improved slightly, and the buying orders were still mostly long order deliverers
.
Flat water copper fell to a discount of 140-130 yuan / ton, due to the downstream obvious fear of heights, limited receipts, the transaction did not improve, large traders sharply reduced the wet copper quotation, mostly in the discount of more than 200 yuan / ton, a small amount of transactions
.
The copper market discount may be expanded, and the large discount may attract speculative traders to enter the market
.

The Shanghai copper 1710 contract rose strongly to 51470 yuan / ton, a new high in more than 3 and a half years, accompanied by the increase in the amount of additional positions, indicating that the enthusiasm of funds to enter is high, while Shanghai zinc is strongly sealed in the price limit, which is also conducive to driving market sentiment
.
In terms of operation, it is recommended that the Shanghai copper 1710 contract still maintain a long idea in the short term, which can be backed by 50800 yuan above the dip, enter the market reference 51300 yuan, and target 52500 yuan
.