Shanghai copper volatility strengthened, short-term decline risks remain

In the external market, the Asian market London copper oscillation strengthened today, but has not yet broken through the upper moving average suppression, of which the 3-month London copper rose 0.
77% to 4565 US dollars / ton
.
This week, the operation of Lun copper position reduction is dominant, showing that long and short positions are reduced, and the popularity of the copper market is sluggish
.

Macro: The Asian dollar index fluctuated in a narrow range, still trading around 94.
8, as this week's focus on the Fed interest rate meeting, and because the UK will release the Brexit referendum results next week, before the market risk aversion is high, the dollar index correction range or limited, still expected to oscillate rebound
.

Market: On June 15, Shanghai electrolytic copper spot reported flat water - premium 70 yuan / ton, flat water copper transaction price 35340-35430 yuan / ton
.
Today is the last trading day before the 1606 settlement, and the current copper premium changes
with the rise and fall of the basis of the next month.
Downstream continues to wait for post-delivery dip opportunities, and holders are eager to overreport premiums after delivery
.
The intraday market conditions fully show the characteristics of pre-delivery, although the quotation is enthusiastic, but the transaction is light, and the transaction may be active
after tomorrow's month.

Industry: A few days ago, the General Office of the State Council issued the "Guiding Opinions on Creating a Good Market Environment to Promote the Structural Adjustment of the Non-ferrous Metals Industry and Promote the Transformation and Increase of Efficiency", proposing measures such as strictly controlling new production capacity, accelerating the withdrawal of excess production capacity, and appropriately increasing some non-ferrous metal reserves, and also proposed to increase fiscal and tax support and strengthen financial support
for the industry.

Today's Shanghai copper 1608 contract oscillation strengthened to 35320 yuan / ton, for the fourth consecutive day of low oscillation, indicating that copper prices are weakened, while the government to strengthen the elimination of backward production capacity of non-ferrous metals and the possible establishment of commercial storage and other news, the short-term correction range of copper futures may be limited
.