Copper prices continue their downward trend and are expected to be repaired upwards in the short term
On Wednesday, the main Shanghai copper 1708 contract opened at 45,110 yuan / ton. After the opening, the copper price consolidated around 45,100 yuan / ton. In the afternoon, the copper price began to drop, reaching a minimum of 44,850 yuan / ton, and closed at 44,880 yuan / ton. Doji. In the day, Shanghai copper futures continued the trend of dropping in late trading, and it is expected to be repaired upwards in the short term.
London copper opened at US$5,616/ton. After the opening, London copper took the lead to rise to US$5,644/ton, and then fell back slowly under the pressure of the middle rail. In the afternoon, the price of copper plunged sharply, reaching as low as US$5,588/ton, and then recovered upwards. As of 17 : 00, London copper was reported at 5,621 US dollars / ton. The Japanese London copper fluctuated widely, and the recent risk events were too many. The copper price fluctuated, or mainly repaired upwards.
Long-dated U.S. Treasury yields fell to seven-month lows on Tuesday, as safe-haven government bonds benefited from jitters ahead of Thursday's U.K. election, European Central Bank meeting and former U.S. FBI Director James Comey's Senate testimony. In the UK general election, polls show that the ruling Conservative Party's lead over the opposition Labour Party has been narrowing, making the Brexit process full of uncertainty. Weak U.S. economic data has dented expectations for a quick U.S. rate hike this year, but the U.S. Federal Reserve is expected to raise rates at its June policy meeting next week.
Shanghai copper futures were flat. As some speculators entered the market in large numbers to receive goods in the afternoon, most of the holders' quotations were relatively firm, which further increased the current copper premium for shipment. The middlemen entered the market and received goods at a lower price due to the approaching delivery. Most of them favor good copper, and wet method Copper is still lacking in interest, the downstream is mainly on demand, the procurement is more cautious, and the middleman is the main body of the market transaction. In the afternoon, the disk dived, and the downstream fell into a wait-and-see state. The flat water copper was quoted at a discount of 10 yuan/ton-a premium of 10 yuan/ton, and the premium copper was quoted at a premium of 10 yuan/ton-30 yuan/ton. The transaction price was 44880 yuan/ton-45090 yuan/ Ton.
The main 1708 contract of Shanghai copper fluctuated and fell during the day, and the market closed lower. It mainly supports 44000 in the short term. The bearish thinking will not change, but it is recommended to gradually stop the profit for short orders.