Home / Metal News / Worsening Market Fundamentals to Weigh Copper Prices Down

Worsening Market Fundamentals to Weigh Copper Prices Down

iconJun 1, 2016 10:17
Source:SMM
Copper prices will return to 35,000 yuan per tonne as market fundamentals are getting worse, Futures Daily predicted.

SHANGHAI, Jun. 1 (SMM) –Copper prices will return to 35,000 yuan per tonne as market fundamentals are getting worse, Futures Daily predicted.   

Rising spot TCs for copper concentrate will give copper smelters incentive to produce. Spot TCs jumped to $95-100 per tonne last week from $80 per tonne in late March, up for two consecutive months. Smelters have almost completed purchases for Q2, which will reduce ore demand and allow spot TCs to continue rising in the short term. 

On the supply side, most smelters had completed large-scale maintenance last year, with limited maintenance in the first half of this year. 

Copper consumption softened after entering May as the off-season is nearing. SHFE copper stocks have fallen to the lowest level since after the 2016 Chinese New Year holiday. The decline, however, was not the result of improved consumption. Instead, delivery to the State Reserve Bureau (SRB), smelter maintenance and less inflows of imported copper led to the fall in inventories.

The article is edited by SMM and is provided for information purpose only. SMM assumes no liability and does not warrant the accuracy, reliability or completeness of information contained or quoted in the article, either express or implied. SMM further disclaims any liability for losses in connection with the information contained or quoted in the article.

For news cooperation, please contact us by email: sallyzhang@smm.cn or service.en@smm.cn.


copper prices
copper price

For queries, please contact Michael Jiang at michaeljiang@smm.cn

For more information on how to access our research reports, please email service.en@smm.cn

SMM Events & Webinars

All