News summary

Shanghai's main copper market closed up slightly today, while spot premiums remained stable and are expected to rise slightly next Monday. U.S. initial jobless claims fell last week, and new home sales fell 4.4% month-on-monthclass2videopoker.7%。Mining of new mines in the Las Bambas copper mine will begin before the end of the year and is expected to reach an annual output of 400,000 tons in 2035. The Federal Reserve is expected to slow down interest rate cuts and copper prices fluctuate or increase. It is recommended to wait and see for the time being.

Newsletter text

[Copper futures market rose slightly] Today's main copper contract in Shanghai closed at 84050 yuan per ton, up 100 yuan from the previous trading day, or 0.12%. Trading volume decreased by 509 lots, and open positions reached 610500 lots.

[Spot market premium held steady] Spot copper premium remained stable today. Following the adjustment of copper prices in the previous two days, the market showed a strong market.class2videopokerwait-and-see posture. According to information, as some copper goods flow to North America, the supply of copper from ocean to Hong Kong is expected to decrease in late May, which may cause the spot market premium to rise slightly on Monday.

[Labor market data is improving] The latest number of initial jobless claims released in the United States last week showed a downward trend, dropping to 215,000, better than market expectations of 220,000. This data shows that the labor market continues to support economic growth.

[New Developments in the U.S. Real Estate Market] At the same time, the U.S. Bureau of Statistics released new home sales data for April showed a month-on-month decline, with a seasonally adjusted annualized sales rate of 634,000 households.

[Outlook for Peru Copper Project] Market analysts expect that mining of the new mine of the Las Bambas copper project in Peru will start before the end of the year. The mine's output has not reached the designed production capacity of 400,000 tons/year for many years, mainly due to local community protests. The person in charge of the Kuangqu said that with the start of preparations for mining of the new mine, the annual output of the copper mine is expected to reach 400,000 tons in 2035.

[Market expectations and copper price fluctuations] Affected by the slowdown in the Federal Reserve's interest rate cut expectations and rising expectations of U.S. copper trading positions, COMEX still holds nearly 149000 positions in July. Most of the long positions are non-commercial positions and are expected to need to be closed before the end of June. Copper prices may fluctuate significantly by then. Copper prices are in the adjustment stage recently. Investors should pay close attention to the support of the 20-day moving average.

[Trading Operation Suggestions] Currently, investors are advised to temporarily maintain a wait-and-see attitude and consider entering the market after the copper price is adjusted in place. For arbitrage and options trading, it is also recommended to stay on the sidelines.