On June 5, according to the analysis of Cinda Futures, copper prices rebounded rapidly, and market sentiment was boosted, but the sustainability was weak.
On the one hand, the U.S. House of Representatives and the Senate voted to pass the debt ceiling bill, which will take effect after President Biden signs it, easing the risk of debt default in the short term.
On the other hand, the seasonally adjusted non-agricultural employment population in the United States in May was 339,000, far exceeding market expectations. The market is worried about the resurgence of inflation and strengthened interest rate hike expectations.
The market was temporarily boosted by the passage of the debt ceiling bill, but in the long run, it is not a cure for the symptoms, and economic recovery has a long way to go, so it is not appropriate to be overly optimistic.
There are currently two bulls in the market, namely, the two parties voted to pass the debt ceiling bill and the Fed kept interest rates unchanged against the background of rising unemployment in the United States. Fundamentally resolved, and the non-agricultural employment data greatly exceeded expectations, the macro economy is still not optimistic.
