Affected by market risk aversion, copper prices gave up gains

In terms of external trading, London copper opened at 5746.
5 US dollars / ton, after the opening affected by the southern copper strike incident, long positions increased in, driving copper prices to fluctuate upward, all the way to 5775.
5 US dollars / ton, and then London copper around 5765 US dollars / ton a line of high shock consolidation, into the European session, with the fall of European stocks, long liquidation outflow, copper prices turned down, low broke through the daily moving average, low to 5735 US dollars / ton, and then the LME announced that copper stocks fell by 6900 tons, The largest percentage drop since February 17, London copper rebounded at a low level, as of 17:17, London copper reported 5760 US dollars / ton
.
The market is still cautious, and it is expected that the future market will mainly rely on the volatility near the 5750 US dollars / ton line
.

On the macro front, Fed Chair Janet Yellen said in a speech that the current U.
S.
unemployment rate of 4.
5% is slightly below the "full employment" state
.
With inflation just below 2% but still at reasonable levels, the U.
S.
economy is "fairly healthy" and is expected to continue to grow
modestly.
In addition, the attitude of the United States and Russia towards Syria is still resolute, and the dispute has not eased
at present.
According to the latest data, the national railway cargo volume in March was 254 million tons, a year-on-year increase of 16.
3%, the eighth consecutive month of positive growth
.
In the first quarter of this year, the national railway freight volume was 724 million tons, an increase of 15.
29%
year-on-year.
The growth momentum of rail freight traffic has been further solidified, once again reflecting the continuous improvement
of the economy.

On the industrial front, copper miners in Peru, a subsidiary of Southern Copper, went on an indefinite strike on Monday in an effort to boost incomes and improve working conditions
.
According to the union, the strikes involved two copper mines in Toquepala and Cuajone and the Ilo smelter
.
The union and the company have disagreed on the impact of the strike, with union representatives saying the strike will affect 80 percent of the company's output, while the company has since said output is still at 99 percent
of normal levels.
In addition, as of March 31, the cumulative production of copper at Tongling Nonferrous Anqing Copper Mine was 1,723 tons, which has completed 25.
72%
of the annual plan.
Inventories in the Shanghai Free Trade Zone rose by 50,000 tons to 620,000 tons
at the end of March from the previous month.
As of the end of March, the total inventory of the Santo exchange and the bonded zone reached 1.
362 million tons, much higher than the same period of the previous year, mainly due to the sharp increase in the inventory of the three major exchanges by nearly 120,000 tons
during the period.

In terms of the market, Shanghai copper continued to decline, the basis narrowed to about 150 yuan / ton in the next month, the speculative space fell sharply, the market transaction atmosphere was further cautious, the supply of copper was diversified, some warehouse receipts flowed out, the supply pressure increased, inhibiting the current copper premium to raise space, the middleman's operation space was limited, the downstream received goods on demand, the transaction was general, and the supply and demand were deadlocked
。 In the afternoon session, the market continued to test the low, the holders wanted to raise the price, but helplessly the market received limited goods, the price was weak, the quotation was soft, flat water copper reported flat water - 20 yuan / ton, premium copper reported 20 yuan / ton - 50 yuan / ton, the transaction price was 46530 yuan / ton - 46730 yuan / ton
.

Overall, the worries caused by supply disruptions have gradually dissipated, and although it is in the peak season, the downstream has not seen obvious entry into the market, and the transaction is temporarily treated with a shock idea
.
Beijing time will release domestic price data on Wednesday, and the US price index will be released on Friday evening, waiting for more guidance
.