Shanghai copper prices slide further as China’s equities slump, dollar gains

Shanghai Futures Exchange copper prices slid further on Monday June 25 as China’s equities markets slumped while the safe-haven US dollar rebounded.

SHFE October copper settled at 54,170 yuan ($8,549) per tonne, down 130 yuan from the previous session. It went to as low as 53,620 yuan per tonne in the afternoon session, the lowest level since June 14.

Positions for all copper contracts on the SHFE increased again, by 11,902 lots, to 591,268 lots on Monday.

“As positive news is lacking on the global macro front, copper is consolidating in a down market,’’ Yu Meilin, an analyst at Jintai Futures said from Nanjing. “SHFE copper has come to the 54,000-yuan resistance level.’’

Chinese equities slumped on Monday, with the Shanghai Composite Index closing at a five-month low of 2,224.11 points.

The US dollar index posted an intra-day high of 82.50 as a global slowdown sapped risk appetite.

On the Changjiang Nonferrous Metals Market, copper traded at 55,220-55,320 yuan per tonne, down 130 yuan compared with the previous session.

October aluminium settled at 15,550 yuan per tonne, down 70 from the previous session. Aluminium spot prices decreased 110 yuan to 15,600-15,640 yuan per tonne for the session.

August lead settled at 14,810 yuan per tonne, down 120 yuan from the previous session. Lead spot prices were down 75 yuan, at 14,900-15,050 yuan per tonne.

October zinc slipped 0.9% from the previous session to settle at 14,585 yuan per tonne. Zinc spot prices were down 100 yuan at 14,600-14,650 yuan.