Shanghai copper shock sorting short-term fluctuations may intensify

On the macro front, the Turkish Foreign Ministry issued a statement on the 28th local time that the Russian-Ukrainian delegation will hold closed-door negotiations
at 10:30 a.
m.
local time (15:30 Beijing time) on the 29th.
Advisers to Ukraine's Ministry of Internal Affairs previously said that no major breakthrough
in the peace talks is expected.
In addition, crude oil prices fell sharply by more than 9%
yesterday.

On the supply side, the upward trend of copper concentrate TC continues, and weak spot demand will continue to push TC upward
.
The CSPT quarterly guidance price will be issued next week, and the market will take a wait-and-see attitude
for the time being.
On the demand side, the operating rate of fine copper rods last week was 62.
81%, down 0.
55%
from the previous month.
The curb on consumption by the pandemic continues, and the operating rate is expected to continue to be affected
.
At present, the improvement of the epidemic has become a key factor in the short-term copper price trend, but in the context of stable domestic growth, it is recommended to treat
it with caution.

In terms of stocks, LME stocks were at 80,600 tonnes, down 0.
01 million tonnes from the previous session, and SHFE fell 02,600 tonnes to 44,200 tonnes
.

Overall, the current negotiations between Russia and Ukraine have not yet been finalized, and the domestic epidemic has hit both supply and demand, and multiple factors have added uncertainty
to the current copper price.
Previously, it was reported that the LME recommended banning Russian copper from entering warehouses, and the volatility of copper prices in the short term may intensify
.
However, in the context of stable domestic growth, if the epidemic is effectively controlled, the recovery of consumption will play a role in promoting the rise in copper prices, and it is recommended to treat
it with caution.