The main shock of Shanghai copper fell slightly, and the market trading was relatively weak

Market focus: (1) U.
S.
congressmen have reached an agreement on a $900 billion new crown relief bill to provide the government with long-term new crown relief
.
It is also the second-largest stimulus deal in U.
S.
history, behind the $2.
2 trillion
in March.
(2) British Prime Minister Johnson and scientists confirmed that a new variant of the new coronavirus found in the UK is 70%
more contagious than the ordinary new coronavirus.
(3) According to Mysteel data, China's spot inventory of electrolytic copper on December 18 was 161,100 tons, a decrease of 03,200 tons
from December 14.

Spot analysis: On December 21, spot 1# electrolytic copper was quoted at 58680-58990 yuan / ton, with an average price of 58835 yuan / ton, down 230 yuan / ton
per day.
Yangtze River Nonferrous Metal reported that holders actively shipped for cash, buying sentiment was low, downstream consumption was general, and trading was relatively weak
.

Warehouse receipt inventory: the total number of Shanghai copper warehouse receipts on Monday was 27,621 tons, a daily decrease of 1,299 tons, a decline of 3 consecutive days; On December 18, LME copper stocks were 123,400 tons, a daily decrease of 4,325 tons, and a decline of 9 consecutive days
.
As of the week ended December 18, the previous period of Shanghai copper stocks reported 74,222 tons, a weekly decrease of 7,870 tons, a new low
since June 2014.

Main positions: the top 20 long positions of Shanghai copper main 2102 contract are 77193 lots, a daily increase of 3068 lots, short positions are 83968 lots, a daily increase of 4507 lots, a net short position of 6775 lots, a daily increase of 1439 lots, both long and short increases, and net space increases
.

Market research and judgment: Shanghai copper 2102 volatility fell
slightly on December 21.
US lawmakers are close to reaching an agreement on a relief package against the epidemic, the Federal Reserve maintains near-zero interest rates and the current size of bond purchases, and the easing policy environment and outlook weigh on the US dollar index, although the worsening of the epidemic in the UK has added new concerns
to the economic outlook.
The supply of upstream domestic copper mines is tight, and the copper processing fee TC is low, which makes the cost high, but the inflow of high-grade scrap copper increases, and the substitution of scrap copper is expected to increase
.
Downstream market demand maintained good performance, of which cable companies started to maintain a high level, Shanghai copper inventories continued to deteriorate, and the terminal industry continued to improve, the demand outlook is optimistic, forming a strong support
for copper prices.
Technically, the Shanghai copper 2102 contract increased its position to close the doji, focusing on the 10-day moving average support, and it is expected that the short-term high will be adjusted
.