On a macro level, the Federal Reserve's interest rate decision has been implemented, with a 50bp rate cut, slightly exceeding market expectations. Copper prices have been boosted by positive news, breaking through range pressure and maintaining an upward trend.

Overall, with the Federal Reserve's interest rate cuts, the world has officially entered the process of interest rate cuts. However, the Federal Reserve also stated that its subsequent operations will not be affected by politics or market expectations, and will adjust interest rates in real time by tracking changes in important data. It will shift its strategy from mainly reducing inflation to reducing inflation and stabilizing the economy. Therefore, from this point of view, due to the recent unsatisfactory performance of important data such as US employment and manufacturing, copper prices are unlikely to see a direct upward trend in the medium term, or may rise in a tiered structure.

Fundamentally speaking, with the low rise in copper prices and the increase in downstream stocking demand during the Double Festival, spot consumption has continued to improve recently, and domestic refined copper social inventory has been declining for several weeks.

Overall, due to the tight supply of raw materials, it is expected that domestic copper production will fall at a high level, and there will be no significant increase in goods arriving at the port in the near future. Coupled with the positive demand and the expectation of a later peak season, copper prices are expected to maintain an upward trend in the short term, mainly on dips.

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