COMEX copper rose after falling, the market long and short interwoven

Copper futures on the Chicago Mercantile Exchange (COMEX) had a historic moment on Monday, hitting a new high of $5.199 a pound, but then fell back amid a mix of bearish and bullish markets.

The main driver of this rally in copper prices has been China's policy support for the property sector. As the world's largest copper consumer, China's policy signals have undoubtedly brought positive expectations to the market, inspiring an influx of technical buying. The phenomenon of short covering has also provided additional support to the rise in copper prices, further boosting prices.

The market optimism did not last long. As investors began to worry about the possibility of more physical shipments to the United States in the future, market nervousness began to rise. At the same time, some producers have chosen to sell copper stocks in response to a possible price drop, further adding to market volatility.

By the end of the day, the most actively traded July 2024 copper delivery closed at $5.079 per pound, up 2.9 cents or 0.57 percent from the previous session. While the futures price briefly broke to the upside, attracting more technical chart-based buying into the market, there was a clear disconnect between the rise in copper prices and the demand in the physical market, showing the intermingling and uncertainty of the market.

The pullback after the copper price reached a new high reflects the current bullish and bearish interwoven situation in the copper market. On the one hand, China's favorable policy, technical buying and other factors have promoted the rise of copper prices; On the other hand, market concerns, producer selling and other factors have put pressure on copper prices.

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[Title] COMEX copper rose and fell, and the market was interwoven
Link: https://www.ccmn.cn/news/ZX018/202405/cbeff4451d834b4f9ba6404bbb2c0cff.html
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