China's inflation data is weak, and the trend of Shanghai copper rushes back down

In the external market, Asian Lun copper under pressure and further extended the decline, of which the 3-month London copper fell 0.
79% to 4771 US dollars / ton, a new low in recent times, close to the low set on July 11 this year, the current London copper running at the interweaving of moving averages, the technical support below focus on M60, that is, 4750 US dollars / ton
.

Macro: The U.
S.
dollar index extended its rally in early trading, rising further to around 96.
5, while U.
S.
crude oil futures fell slightly but basically maintained its overnight gains
.
In addition, China's CPI rose 1.
8% year-on-year in July, and PPI fell 1.
7% year-on-year, further narrowing the year-on-year decline, but it was 53 consecutive months of decline, indicating that the risk of domestic deflation remains
.
Information: A spokesman for Freeport's McMorun said today that the company has not been notified of the extension of its Indonesian copper export license, which expired on Monday, although the government is expected to issue a new license
soon.

In terms of market: Shanghai electrolytic copper spot report discount 10-liter water 120 yuan / ton, flat water copper transaction price 37260 yuan / ton -37340 yuan / ton, liter copper transaction price 37320 yuan / ton -37440 yuan / ton
.
Holders are eager to exchange cash, and the current copper market premium is again significantly lower
.
Until the first section of the market is closed, good copper reported a premium of 110 yuan / ton, flat water copper reported a premium of 10 yuan / ton, and some low-cost flat water copper has been reported to be
discounted.
The price of copper on the plate approached a one-month low, and a small number of downstream began to return to the inquiry, which showed that the transaction of wet copper picked up slightly, and the discount expansion of wet copper was much lower than that of good copper and flat water copper
.
Before delivery, the current copper premium may slide to less than
100 yuan / ton.

The Shanghai copper 1610 contract continued to fall to 37220 yuan / ton under pressure during the day, as China's July inflation data remained weak, increasing the risk of domestic deflation, and the US dollar index oscillated and rebounded, which was not conducive to the rebound
of copper prices.
However, in view of the fact that copper has not effectively fallen below the technical support below, it is recommended that short-term operations still need to be cautious, Shanghai copper 1610 contract can be 37000 yuan as the dividing line, range oscillation operation is the mainstay, the operating range is concerned about 38000-36700 yuan / ton
.