Demand outlook is difficult to say optimistic Shanghai copper prices have continued to pullback

On the macro front, the US announcement holiday and trading are relatively light, but the Fed's sharp interest rate hike has also led to increasing concerns about the market's outlook for future demand, and copper prices are temporarily weak
.

On the supply side, there was no further news from South American mines last week, although Argentina announced a new progressive tax rate
on copper exports.
TC prices continued to edge lower by $1.
36/mt to $73.
91/mt
.

In terms of consumption, the operating rate of downstream processing enterprises last week was not good, superimposed on the consumption off-season, the downstream willingness to buy goods was poor, and it was more bearish in the future
.
Traders also did not recognize the high premium of spot goods very much, tried to trade at a low price, and finally received not many
goods.
Although terminal sectors such as power and automobiles may perform relatively well in the equity market, real estate still makes the market more worried, and orders from end companies are not very satisfactory, so the overall consumption is still difficult to be optimistic
.

Although Shanghai copper has continuously pulled back and returned below 68,500 yuan / ton, the downstream highlights the fear of decline under the market buying interest, the overall trading activity of the market is limited, and the buyers and sellers still maintain a deadlock
.
The morning market flat water copper began to report about 280 yuan / ton of premium, the market buying interest is limited, after the second period of gradually outflow of 260-270 yuan / ton of supply, some downstream on-demand replenishment outside the remaining transaction is slightly light
.
Good copper quotation and flat water copper price difference is still stable at about 20 yuan / ton, the overall report to about 280-300 yuan / ton, market favor is limited, bad smell a large number of active trading
.
The whole wet copper is reported at 180-200 yuan / ton of premium, and the undetermined mood is still
undecided after some downstream on-demand replenishment.

In terms of stocks, LME stocks fell by 0.
1 million tonnes to 117,000 tonnes
yesterday.
SHFE stocks fell 0.
05 million tonnes to 19,300 tonnes, a relatively large
increase.

Overall, after the Fed raised interest rates by 75 basis points, the market's concerns about the future economic outlook further intensified, and the colored sector was also dragged down and showed lower, and the current demand outlook is difficult to say optimistic, so this operation is temporarily
based on a wait-and-see attitude.