1、 Trend analysis

As shown in the figure above, the copper price fell slightly this week. As of the end of the week, the spot copper price was 67735 yuan / ton, down 3.31% from 70056.67 yuan / ton at the beginning of the week, up 16.88% from the beginning of the year, and up 43.8% from the same period last year. This week, LME copper fell under pressure in March, closing at US $9219, down 7.75% for the week; This week, the Shanghai copper index fell sharply to close at 67440 yuan, down 6.24%. The international copper index closed at 59910 yuan, down 6.39%.

The bad news gathered this week. At the beginning of the week, it was rumored that the State Grain and material reserve bureau would put in copper, aluminum, zinc and other national reserves in batches. It was heard that the related non-ferrous varieties fell one after another. In addition, the state continues to pay attention to the rise in commodity prices. China has stepped up its monitoring of commodity prices and curbed speculative activities to ease the threat of soaring raw material costs to economic recovery. Copper prices have been the first to decline after the festival. After the Hawks’ statement at the meeting of the central and US Federal Reserve last week, the US dollar index continued to rise sharply, while the non-ferrous metal sector suffered a heavy decline. Recently, the center of gravity of copper concentrate processing fees has moved up slightly, suggesting that the supply side tension continues to ease. To sum up, at the turning point from the traditional peak season to the off-season, it is no doubt that the State Reserve’s dumping operation will form a more obvious pressure on copper, and it is expected that the copper price will still be weak in the short term.