Will Copper Prices Rise after US Fed’s Rate Hike? SMM Interviews

[SMM Shanghai Spot Copper] Looking ahead to tomorrow, according to the Central Meteorological Observatory, this year's No. 9 typhoon "Bawei" has strengthened into a super typhoon. It is expected to approach the eastern sea areas of China around July 10, with a high probability of making landfall in east China. Affected by this, downstream copper semis processing plants in Jiangsu and Zhejiang are concerned that subsequent strong winds and rainstorms from the typhoon could disrupt logistics and production arrangements. They are therefore concentrating on advance stockpiling purchases, pushing up the overall center of Shanghai spot copper premiums. Observing supplier behavior, market transactions were active, and after low-priced cargoes were quickly absorbed, suppliers' willingness to hold prices firm further strengthened. Overall, under the combined effect of the concentrated release of typhoon stockpiling demand, suppliers holding prices firm, and continuous inventory destocking, Shanghai spot copper prices against the SHFE copper 2607 contract are expected to remain at a premium tomorrow, with the overall center continuing to edge up.

[Kilat SMM Billet Kuningan] Berdasarkan masukan survei lini depan dari sampel perusahaan billet tembaga di seluruh negeri, ekspektasi pasar terhadap kinerja industri pada bulan Juli secara umum pesimis. Pendorong perbaikan jangka pendek masih belum memadai, dan berbagai faktor negatif akan terus memanas. SMM memperkirakan tingkat operasi komprehensif produsen billet tembaga Tiongkok akan menurun 2,44 poin persentase MoM menjadi 43,65% pada bulan Juli, turun 1,17 poin persentase YoY. Tren operasi tingkat rendah industri ini diperkirakan akan berlanjut.