Optimism dominates Shanghai copper may extend a moderate upward trend

On the macro front, although the global economic recovery is facing the challenges of the epidemic, overseas monetary policy is expected to remain loose, coupled with the recovery of temperature and the smooth progress of vaccination, global economic recovery will remain the main theme
of the market.

Fundamentally, under the initiative of the national New Year in place, the recovery progress of copper consumption is expected to increase, while the domestic refining copper production growth in February is expected to be limited, and the arrival of electrolytic copper in February and March will decrease, so copper supply may face a phased shortage
after the holiday.

In addition, the current copper market is in the traditional accumulation stage, but there is no obvious accumulation phenomenon, the overall domestic copper inventory is still at a historical low, it is expected that the scale and duration of this year's Spring Festival accumulation may decline compared with the previous year's level, which will also provide some support
for the price of copper.

At present, market optimism dominates, copper prices may continue a moderate upward or oscillatory trend after the holiday, and there is strong support
below 57,000-58,000 yuan / ton.
After the spring season, the resumption of domestic work and investment may bring a new round of support to copper prices, with the upper pressure of Shanghai copper at 62,500 yuan / ton, and the lower support at 58,000 yuan / ton
.