Copper stocks collectively rose, as of the time of publication,$CHINFMINING (01258.HK)$rose by 5.99%;$MMG (01208.HK)$rose by 4.44%; $JIANGXI COPPER (00358.HK)$rose by 4.02%;$CHINAGOLDINTL (02099.HK)$Increased by 2.29%.

On the news front, London copper bottomed out and rose slightly overnight, closing at $9542. Copper in Shanghai night trading fluctuated at a high level and closed with a small positive, at 75640. Holly Futures stated that Shanghai copper trading volume decreased while holding positions remained stable, with the market sentiment leaning towards caution. The Fed has started cutting interest rates, the People's Bank of China is gradually following suit, and the macroeconomic fundamentals have slightly improved. Recently, London copper inventories have slightly decreased, Shanghai copper inventories have significantly declined, and global copper inventories have fallen from their highs. Short-term rebound in Shanghai copper continues, but the possibility of a sharp rise is small. In the medium term, the fundamentals lean towards neutral, focusing on changes in demand and inventory.

CITIC Securities believes that macroeconomic, supply and demand, and trading factors have been driving copper price fluctuations since 2024. Compared to the previous round of copper price prosperity starting in March, all aspects currently have a more positive and clear potential impact on copper prices. The Fed has started an interest rate cut cycle, historical data confirms that in the background of the lingering resilience of the US economy, precautionary interest rate cuts will help boost copper prices. Huatai Futures pointed out that the Fed has now completed a 50 basis point interest rate cut, which is essentially in line with market expectations. For copper varieties, the interest rate cut cycle may be somewhat beneficial, especially with the current destocking trend in the domestic market.

Editor/ping