The main copper futures contract rebounded and the overall trading improved significantly

Market Focus: (1) Fed Chairman Jerome Powell said that the public health emergency poses an "evolving risk" to U.
S.
economic growth and hinted at lowering interest rates
if necessary.
(2) According to the list of major project investment plans released by Beijing, Shanghai, Jiangsu Province, Zhejiang Province, Yunnan Province, Jiangxi Province and Fujian Province in 2020, the total investment amount exceeds 20 trillion yuan, of which infrastructure investment is still an important part
.

Spot analysis: On March 2, spot 1# electrolytic copper was quoted at 44640-44920 yuan / ton, with an average price of 44780 yuan / ton, a daily increase of 100 yuan / ton
.
Copper futures are still at a low level, the market is full of expectations for the restart of consumption in March, holders have performed well, downstream bargain buying has increased, traders have finally got rid of the stalemate since last week, activity has increased significantly, and overall trading has improved
significantly.

Warehouse receipt inventory: the total of Shanghai copper warehouse receipts on Monday was 171186 tons, unchanged from the previous day; On 28 February, LME copper stocks were 218175 tonnes, down 1,700 tonnes
per day.
As of the week of February 28, the stock of copper cathode on the Shanghai Futures Exchange was 310,760 tons, a weekly increase of 12,141 tons, an increase of six consecutive weeks
.

Main positions: the top 20 long positions of Shanghai copper main 2004 contract are 76925 lots, daily decrease of 2141 lots, short positions of 92875 lots, daily increase of 52 lots, net short positions of 15950 lots, daily increase of 2193 lots, more short increase, net space increase
.

The main force of Shanghai copper in 2004 rebounded
sharply.
The global novel coronavirus pneumonia epidemic is showing a trend of further spread, the impact of the epidemic on the global economy is still increasing, and market worries continue to rise; Coupled with the gradual recovery of domestic transportation, the problem of sulfuric acid expansion has been alleviated, which is conducive to the recovery of domestic smelter output, while downstream copper enterprises have resumed work slowly, demand is still weak, and the recent upward trend of Shanghai copper inventories has put pressure
on copper prices.
However, expectations of a 25 basis point interest rate cut by the Fed in March increased sharply, and the dollar came under pressure to the downside; At the same time, the improvement of the epidemic situation in China, the gradual recovery of market vitality, coupled with the government's plan to expand infrastructure investment, is conducive to the recovery of demand, and the support for copper prices has been strengthened
.
In terms of spot, copper futures are still at a low level, the market is full of expectations for the restart of consumption in March, holders have performed strongly, downstream bargain buying has increased, traders have finally got rid of the stalemate pattern since last week, activity has increased significantly, and the overall trading has improved
significantly.
Technically, the main 2004 contract of Shanghai copper reduced its position, and the mainstream short position reduction was large, and it is expected that the short-term shock will continue to rise
.