Last week copper pressure shock down. After the Federal Reserve announced the interest rate resolution, the us stock market plunge brought by the interest rate hike and whether it caused the US economy "hard landing" concerns about the future direction of monetary policy. The renminbi fell against the US dollar in mid-week as the us dollar continued to rally after us economic data showed inflation remained high and market expectations for aggressive monetary tightening by the Federal Reserve increased. Superimposed on the impact of domestic epidemic consumption is difficult to see improvement, copper price movement center of gravity all the way down, week test seventy thousand integer mark after a small rebound.
In terms of fundamentals, the Long Association TC shows that the copper concentrate market in 2022 has a loose trend, looking forward to 2022, the global new capacity has been released, especially in the second half of the supply side to give some suppression. The price difference of refined waste narrowed significantly, and the weak situation of supply and demand intensified, highlighting refined copper consumption to a certain extent. At present, the epidemic in China is under control, and the turning point of the epidemic in Shanghai has already appeared. Short-term control measures have not been lifted, and their impact on consumption remains. The Shanghai-London ratio has tended to favor imports. On Friday, the arrival of imported copper supplies pushed down the premium, but the weak domestic demand to some extent restrained overseas copper imports. In the follow-up, we still need to continue to pay attention to the epidemic situation and the resumption of work.
Looking forward to the future market, with the Federal Reserve interest rate hike, balance sheet reduction plan landing, the market leading price trend will gradually return to the fundamentals, the long-term trend of copper prices facing downward pressure. In the short term, the macro and domestic epidemic has a great impact on demand. In the short term, the epidemic will continue to drag down consumption. But after the epidemic, demand may face a rebound. This week is expected to be mainly weak, and the operating range is expected to be 69500-72,500 yuan/ton.
