echemi logo
Product
  • Product
  • Supplier
  • Inquiry
    Home > Chemicals Industry > New Chemical Materials > The US dollar index is weak and volatile, and copper prices continue to rebound

    The US dollar index is weak and volatile, and copper prices continue to rebound

    • Last Update: 2022-12-25
    • Source: Internet
    • Author: User
    Search more information of high quality chemicals, good prices and reliable suppliers, visit www.echemi.com

    On Wednesday, Shanghai copper ran strongly in the morning, and then the market weakened, and the Shanghai copper 2209 contract fell back in shock, and finally closed at 61040 yuan / ton; The trend of the international copper 2210 contract was also volatile and lower, and finally closed at 54200 yuan / ton
    .
    Overnight copper rose, with Shanghai copper and international copper following suit
    .

    Shanghai copper

    Before the release of the US inflation data, the market sentiment was slightly cautious, the inventory of Shanghai copper warehouse receipts was still declining, and the downstream wait-and-see sentiment recovered after the recovery of the non-expired price, and the upward trend of futures prices was weak
    .

    On the macro front, China's July CPI year-on-year increase expanded, hitting a new two-year high, and the US dollar index has recently been weak and volatile, waiting for the performance
    of US CPI data.
    At present, the market is focused on mid-week US inflation data, which may have a greater impact
    on the expectation of late interest rate hikes.
    But overall, the macro market will continue to be in a stable environment
    until the September rate hike arrives.

    In terms of market, the spot market traded generally, and the premium fell by 110 yuan / ton
    from the previous day.
    The decline in copper prices is limited, the downstream purchasing sentiment is not high, the copper basis difference continues to expand, and the spot premium of domestic trade continues to decline
    .
    During the mainstream session in the morning, flat water copper rose around 20 yuan, good copper rose about 30 yuan The transaction was acceptable, and the reduction of the reported goods after the second period was slightly raised, but the actual transaction was rare
    .

    With the gradual rise of prices, the downstream wait-and-see sentiment has rebounded again, and although the price of the premium has fallen under the condition of increasing copper arrivals, it still remains relatively high, so the buyer's acceptance is not high, and there is little
    buying interest.
    Demand briefly boosted in the second half of last week due to sudden risks on the supply side, but the recovery in demand is relatively limited
    because it is still in the off-season.

    The focus is now on U.
    S.
    inflation data, which fell more than expected in July, raising expectations of a decline in tightening pressure from the Federal Reserve, which boosted copper prices
    .
    In terms of supply and demand, the market mainly focuses on the impact of power curtailment measures on the supply and demand of the Yangtze River Delta, from the current understanding of the situation, the supply side is mainly Anhui and Zhejiang copper smelting will be affected, while downstream copper consumption will also be affected, therefore, the supply and demand impact needs further observation
    .
    Overall, the macro environment continues to remain stable, and supply and demand have an uncertain impact in the short term, but it is still expected to improve in the second half of the year, and copper prices will continue to rebound
    .

    This article is an English version of an article which is originally in the Chinese language on echemi.com and is provided for information purposes only. This website makes no representation or warranty of any kind, either expressed or implied, as to the accuracy, completeness ownership or reliability of the article or any translations thereof. If you have any concerns or complaints relating to the article, please send an email, providing a detailed description of the concern or complaint, to service@echemi.com. A staff member will contact you within 5 working days. Once verified, infringing content will be removed immediately.

    Contact Us

    The source of this page with content of products and services is from Internet, which doesn't represent ECHEMI's opinion. If you have any queries, please write to service@echemi.com. It will be replied within 5 days.

    Moreover, if you find any instances of plagiarism from the page, please send email to service@echemi.com with relevant evidence.