Copper Inventories across Major Chinese Markets down 300 mt over Weekend

SHANGHAI, May 30 (SMM) - As of May 30, SMM copper inventory across major Chinese markets dropped by 300 mt to 107,300 mt from last Friday. The total inventory fell by 216,500 mt from the same period last year when the inventory was recorded at 323,800 mt. On weekends, the inventory in Guangdong decreased, while the inventory in most other areas increased. In detail, the inventories in Shanghai decreased by 600 mt to 87,400 mt, the inventories in Jiangsu increased by 1,500 mt to 4,600 mt, the inventory in Chongqing rose by 600 mt to 900 mt, and the inventory in Guangdong dipped by 3,200 mt to 12,100 mt.
At present, the market focuses on the change in inventory in Shanghai. According to the SMM research, with the recovery of logistics, the imported copper stranded previously was shipped to downstream factories or domestic warehouses. Therefore, the arrival of imported copper in the warehouses may increase gradually. The inventory in Guangdong dropped rapidly from 34,000 mt in May to 12,100 mt. The inventory is likely to fall below 10,000 mt in the future, and it will hardly increase in the short term.

Looking forward, although imported goods will increase, the inventory may not be high. Besides, the arrival of domestic copper will remain low. The market shall keep an eye on the downstream restocking before the Dragon Boat Festival. If the downstream companies purchase a large number of goods, the inventory may continue to decline this week.    

Disclaimer:

The above representation and data is based on market information SMM believes to be reliable at the time of acquiring as well as the comprehensive assessment by SMM research team, and any and all information provided in this article is for reference only. This article does not constitute a direct recommendation for investment or any decisions in any form and clients shall act on their own discreet and any decisions made by clients are not within the responsibility of SMM.