Copper market lacks guidance Shanghai copper fluctuates in a narrow range

External: last Friday night market London copper rushed back down, fell for five consecutive days, of which 3 months London copper slightly fell 0.
14% to 4620 US dollars / ton, the LME market closed on Monday, the current London copper effectively running below the moving average group, short-term decline risk remains
.
On August 25, after the copper price fell below $4,700 / ton, London copper slightly increased its position, indicating that the long-short divergence increased, and the operation tended to be cautious
.

Macro: The Asian dollar index oscillated slightly, extending the gains in Friday's night market, and is now trading around 95.
67, increasing the pressure
on base metals.
The US real GDP in the second quarter rose by 1.
1% annualized as expected after revision
.
The market is currently focused on China's August manufacturing PMI on Thursday, and expectations are bearish
.
In terms of information: Chile's state-owned copper company, the world's largest copper miner, lost $97 million in pre-tax profit in the first half of this year, and its economic performance may scale back some copper expansion plans
.

Market: On Monday, Shanghai electrolytic copper spot reported a premium of 10-50 yuan / ton, and the transaction price of flat water copper was 36380-36440 yuan / ton
.
Cargo holders want to take advantage of the lack of external orders to support domestic premiums during the day, but downstream and speculative plates are calm and wait-and-see, causing good copper premiums to fall
quickly.
However, because wet copper is still scarce, the water limit of flat water copper is limited, and it indirectly supports good copper
.
With the approach of the Hangzhou G20 Summit, logistics and transportation in East China has become an important consideration in downstream procurement, and downstream purchases have been seriously suppressed
after last week's bargain hunting.

The Shanghai copper 1610 contract oscillated to 36420 yuan / ton during the day, and as Shanghai copper continued to reduce its position, it showed that the long and short actively reduced their positions and left the market, and the bulls had no confidence
in taking the dip.
In view of the fact that the current copper has fallen below the 37,000 yuan / ton integer mark and the key technical support of M60, and China's refined copper imports in July fell sharply month-on-month, the risk of copper price decline has increased
.
It is recommended that the Shanghai copper 1610 contract can be cautiously short below 37,000 yuan, with a target of 35,800 yuan
.