LONDON, October 17: Traders report that the London Metal Exchange (LME) copper price rose sharply by nearly 4% on an intra-weekly basis, as aggressive spot pricing for the "third Wednesday" in October triggered stop-loss buying. .ZH This shows that the rising trend of copper prices continues, at least fund buyers hold this view.
The three-month copper overnight market closed at $3,950 a tonne, and a wave of gains at the end of the composite trade made it $148 higher than last Friday's close.
It also set a high of US$3,975 per ton on the LME Electronic Trading Platform Select.
The copper fundamentals remained stable until the end of the trading day, and the copper price is expected to continue its upward trend in future transactions.
Fund buyers believe that the fall in copper prices to $3,780/ton last Friday was the reason for the rise on the 17th, but there are also a lot of short selling today.
A trader said: "After breaking the 3,900 trigger stop-loss buying, the period price rose by 5 dollars, trading volume is quite large, and the market liquidity is good. Basically, the correction trend has ended, the bears in the LME inventory decline Next fill. The current market is crazy."
In a market situation dominated by supply-side tensions, this volatility led copper to close to $4,000 and hit a record high of 3,985 hit last week.
An inside trader said, "This may be an extremely unreasonable price, but the physical purchase and demand are strong and copper stocks are declining."
LME copper stocks fell by 1,600 tons to 65,700 on Monday, near the lows hit at the end of August last year.
BaseMetals.com analyst Adams said that in addition to Monday morning buying support in the Asian market, the rebound in oil prices also provided support for the metal market, as there are signs that another hurricane is approaching the Gulf of Mexico.
The National Hurricane Center of the United States stated that Tropical Storm Wilma formed in the Caribbean on Monday and may enter the Gulf of Mexico before the weekend.
The price of oil rose by more than a dollar because of concern that the tropical storm may once again cause the Gulf oil infrastructure to suffer.
Zinc breakthrough breaks higher**
The three-month zinc breakout rose above the resistance near $1,500 and triggered stop-loss buying, closing at an eight-month high of $1,520, up $45 from yesterday.
Traders said the market was supported by supply worries, as concerns about the decline in Korean Zinc production and the fear of the release of zinc from New Orleans warehouses are continuing.
About 250,000 tons of zinc was stored there in the LME's registered warehouse and last month due to possible damage from the hurricane, it stopped delivery.
Three-month aluminum trading closed higher by 51 US dollars to 1,999 US dollars, the next important technical target is 2,016.
Three-month lead rose from 967/968 U.S. dollars yesterday to 975. Three-month nickel rose 365 U.S. dollars to 12,590. Three-month tin rose from 6,475/6,500 U.S. dollars in the previous trading day to 6,600 U.S. dollars.
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