Prices of most of the 12 copper futures on the Shanghai Futures Exchange Friday fell week on week in thinner volumes as market participants adopted a cautious approach following news that Qingdao port had halted shipments of aluminum and copper because of an investigation into loan irregularities involving stocks in warehouses.
The 12 copper contracts, which run June 2014-May 2015, slipped Yuan 260-650/mt ($42-104/mt) week on week to Yuan 47,250-49,430/mt Friday.
The front-month June contract closed at Yuan 49,430/mt Friday, down Yuan 260/mt week on week and the most active August contract closed at Yuan 48,260/mt, down Yuan 380/mt from last Friday.
Turnover of the 12 copper contracts, which run from June 2014 to May 2015, stood at 2,398,690 mt Friday, down 18.4% from last Friday.
Local media reported Monday that the authorities had launched an investigation into some local trading companies for allegedly using warehouse receipts multiple times to secure financing from banks for up to 80,000 mt of aluminum and 20,000 mt of copper, forcing Qingdao port to halt aluminum and copper shipments.
Meanwhile, prices of the 12 aluminum futures closed Friday mostly lower at Yuan 13,295-13,485/mt with 10 of them slipping Yuan 40-110/mt week on week and the remaining two edging up Yuan 30/mt and Yuan 35/mt.
The front-month June contract closed at Yuan 13,295/mt Friday, up Yuan 35/mt week on week, while the most active August futures closed at Yuan 13,425/mt, down Yuan 105/mt from last Friday.
The traded volume of the 12 futures totaled 315,760 mt, down 48.4% week on week.
