The global inventory rebounded significantly, and Shanghai copper fell under pressure

In terms of spot, on December 15, CCMN Yangtze River spot 1# copper trading price was 66220-66260 yuan / ton, the average price was 66240 yuan, down 600 yuan / ton; The premium was reported at 260-300 yuan / ton, with an average price of 280 yuan, up 160 yuan / ton
.
The participation of traders in the spot market is not high, the demand performance is average, the receiver prepares goods on demand, and the overall transaction volume is flat
.

On the supply side, global copper mine supply disruptions are still obvious, Chile lacks large-scale copper mine projects to put into production, and the decline in copper mine taste in production projects may exceed expectations
.
Meanwhile, protests have intensified in Peru, and a key road at the Las Banes copper mine has been blocked, which could affect the mine's production
.
Domestic copper concentrate smelting profits are still running at a high level, but tight supply of crude copper and cold materials will limit production in December, when production is expected
to fall.
At this time, LME copper stocks stopped dematerializing, increasing by 3,650 tons in the previous day, and registered warehouse receipts increased simultaneously; Copper inventories in the previous period were 42,000 tonnes higher than the same period last year, and Shanghai copper futures warehouse receipts recorded 32,279 tonnes, an increase of 5,568 tonnes from the previous day, so global explicit inventories rebounded, weakening
price support.

In terms of demand, domestic copper consumption is still weak, and there is still weakening pressure
in the future.
At this time, it entered the end of the year, some companies took an early holiday, and the downstream fell back due to the rising fear of heights, and the consumption side was weak, dragging down the performance
of copper prices.

In summary, the Fed's 50 basis point rate hike in December landed as scheduled, but Powell's hawkish comments and the peak interest rate of the latest dot plot of the FOMC were sharply raised to 5.
1%, helping the dollar to strengthen, the market sentiment was bearish, domestic and foreign metal prices weakened, and the Shanghai copper high fell under pressure
.
At present, the fundamentals of Shanghai copper are general, supply and demand are in two weak, and at this time, copper has entered the off-season in advance and is approaching the end of the year, spot consumption is more weak, and the downstream is afraid of high water pullback, greatly suppressing the upside of
copper prices.
On the supply side, copper production was less than expected and inventories remained low, but inventories picked up last day, weakening
support for copper prices.

Overall, the Fed's interest rate hike landed as scheduled, but hawkish statements suppressed the trend of metals, coupled with the suppression of weak reality, copper prices are mainly
volatile.