The epidemic hit both sides of supply and demand, and the trend of Shanghai copper continued to fluctuate

On the macro front, yesterday, Fed Chairman Jerome Powell spoke
at a meeting organized by the National Association of Business Economists.
He said the Fed would adjust policy to restore price stability while maintaining a strong labor market
.
If necessary, the Fed will raise interest rates by more than
25 basis points.
In addition, crude oil prices rebounded
sharply yesterday.

On the supply side, copper concentrate TC continues to rise, the impact of domestic smelter maintenance and production reduction continues to ferment, and the interference on the demand side may promote TC to continue to rise in the short term
.
On the demand side, the operating rate of fine copper rods this week was 63.
36%, down 2.
9%
from the previous month.
The impact of the domestic epidemic on the consumer side is obvious
.

In terms of inventory, global inventories continued to recover, with weekly accumulation of LME and bonded areas, weekly destocking of SHFE and social treasury
.
LME stocks stood at 80,200 mt, up 0.
06 mt from the previous session, and SHFE fell 04,400 mt to 56,400 mt
.

Overall, the Fed's interest rate hike has landed, the current negotiations between Russia and Ukraine have not yet been finalized, and the domestic epidemic has impacted both supply and demand, and multiple factors have added uncertainty
to the current copper price.
Last Friday night, the LME recommended banning Russian copper from warehouses, and the short-term copper price volatility may increase
.
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.