MARKET TALK: China Copper Futures Up Sharply But Lag LME Rise

Copper futures on Shanghai Futures Exchange up sharply after strong gains in LME 3-month copper overnight, but lagging LME counterpart "as London was a bit overbought yesterday, and a technical correction is on the way; besides, weak domestic cash prices cap gains," says Jinpeng Futures analyst Gu Yuan. Adds LME 3-month copper looks to have momentum to rise further in short term but Shanghai may continue to lag due to weak cash prices. Benchmark June contract +CNY1,930, or 3%, at CNY65,960/ton; LME 3-month at $7,240/ton, +$10 vs PM kerb.