COMEX July 10 Copper Roundup

New York, July 10 news: Copper futures on the Chicago Mercantile Exchange (COMEX) rose for the second consecutive day on Monday.

As of the close, copper futures rose by 0.25 cents to 0.65 cents. Among them, the most actively traded copper futures for September 2023 closed at US$3.7845 per pound, up 0.25 cents or 0.07% from the previous trading day.

September copper traded in a range of $3.7425 to $3.788.

Copper futures rose 1.38% over the past two sessions.

The U.S. dollar fell on Monday, providing support for copper prices. ICE's U.S. dollar index closed at 101.642 points, down 0.30% from Friday.

The near-term contract of COMEX copper futures rose 0.82% so far this month, and its closing price on Monday was 9.72% higher than the same period last year. But copper is still down 0.89% so far this year, 23.33% below its all-time peak in March 2022. COMEX copper futures fell by 14.6% in 2022, mainly because the outlook for global economic growth is worrying. High inflation prompted European and American central banks to actively raise interest rates to curb inflation, exacerbating the risk of economic recession. In contrast, copper has recorded two consecutive years of gains of 25% in 2020 and 2021, as the green transition of the global economy and electrification help boost additional demand for the metal, which is widely used in the power and construction industries, while copper mines face challenges. Disruptions such as underinvestment and production disruptions.

The August 2023 copper contract on the Shanghai Futures Exchange closed up 30 yuan at 67,860 yuan a tonne on Monday. Bonded copper futures for September delivery on the Shanghai International Energy Exchange (INE) rose 80 yuan to 60,320 yuan a tonne.

From the perspective of fund dynamics, the position data released by the US Commodity Futures Trading Commission (CFTC) showed that speculative funds sold net in the US copper futures market for the second consecutive week. As of July 4, speculative funds held a net long position of 9,096 contracts in the COMEX copper futures and options market, a decrease of 11,682 contracts from a week ago. For comparison, net sales of 2,480 lots were recorded in the previous week.

In registered warehouses of the Shanghai Futures Exchange, copper inventories on Friday (July 7) were 74,638 tons, an increase of 6,325 tons from 68,313 tons a week ago. It was 70.4% lower than its peak of 252,455 tonnes.

On Monday, the trading volume of COMEX copper futures was 57,141 lots, compared with 58,221 lots in the previous trading day; the empty position was 194,781 lots, compared with 194,117 lots in the previous trading day.