The trend of Shanghai copper is weak, and the shortage of funds suppresses the market situation

In terms of external trading, London copper opened low at 5497.
5 US dollars / ton in the morning, long and short confrontation at the beginning of the Asian session, London copper oscillated around the daily moving average resistance, and the upper lead tentatively pierced the 40-day moving average, trying to 5517 US dollars / ton
.
However, the Bank of Japan announced that the interest rate decision was not moved, the yen fell against the dollar, the dollar was raised to 103.
42, London copper bulls retreated, London copper retreated below the 40-day moving average, tested down to 5475 US dollars / ton, and then the bears made up for the low, copper prices fluctuated back, and the European session repeatedly backtested the daily moving average pressure
.
The LME announced that copper inventories decreased by 1450 tons, and the proportion of written warehouse receipts rose to 34.
62%, and London copper temporarily ended the continuous 6-day inventory growth, copper prices soared, as of 17:10, London copper reported 5531 US dollars / ton
.
Intraday copper first fell and then rose, showing willingness to return to the 40-day moving average during the Asian session, the support effect of copper inventory reduction was amplified in due course, and the height and sustainability of the rebound need to be examined
.

Macro: The dollar rose sharply, crude oil fell
.
Federal Reserve Chair Janet Yellen said the U.
S.
job market is at its strongest in nearly 10 years
.
In addition, the Bank of Japan maintained the policy rate, government bond yield target, and annual increase target of government bond holdings unchanged, maintained the Bank of Japan policy rate Policy Rate (Policy Rate) at 0.
1%, maintained the 10-year government bond yield target at about 0%, and maintained the target
of annual growth of Japanese government bond holdings of 80 trillion yen.
The message is empty
.

In terms of the market, Shanghai copper continued to fall sharply by more than 1,000 yuan, and holders had a strong willingness to exchange cash and return funds at the end of the year, but speculative orders were also few due to closure
.
There are sporadic buying intentions downstream, but they are subject to the continuous decline of the market and turn to wait and see
.
In summary, there are far more bidders than inquirers, and there are even fewer receivers, so that the current copper discount has expanded again, and it is expected that the light market at the end of the year will continue
.
In the afternoon period, the market quotations decreased, a small number of middlemen showed willingness to receive goods, the discount narrowed, flat water copper newspaper discount 230 yuan / ton - discount 200 yuan / ton, premium copper discount 150 yuan / ton - discount 120 yuan / ton, part of the flat water copper discount raised to 180 yuan / ton, but the market recognition is low, the transaction is almost nothing, showing a state of price and no market, or pointing the direction
for spot discount.

On the whole, the commodity market generally plunged during the day, LME inventories rebounded slightly, and near the end of the year, there was demand for funds to return and spot merchants continued to discount in anticipation of increasing them years ago, suppressing copper prices
in the short term.
The fundamentals of supply and demand have not changed much, in terms of spot, there are far more bidders than inquirers, and there are even fewer receivers, so that the current copper discount has expanded again, and it is expected that the light market at the end of the year will continue
.