SHANGHAI, Nov. 15 (SMM) – Over this past week, LME copper surged to a 16-month high of $5,808 per tonne, up 15.86 week-on-week. Last week, SMM 2016 China Metals Summit (CMS), an annual gathering of base metals industry in China, was also held on Nov. 10-11. What are opinions of the attendees for the outlook?
“China’s copper prices are predicted to show a steady upward trend in 2017 if China’s economy is positive,” Yang Che told attendees at Copper-Aluminum panel discussion in the summit.
But, negative impact will be felt if inflation data is higher as this will influence monetary supply, added Mr Yang, general manager of Xiangguang Metals Trading.
Cai Hao, Assistant to General Manager of Far East Material Trading Center, echoed Yang’s view, expecting copper price will not be less than 40,000 yuan per tonne.
Mr. Cai said that recent gains in copper market are believed to catch up increases seen in other neighboring markets.
“China is world’s major copper consumer, but its influence on price is not that big, and LME copper and US dollar will be also key influential factors on China’s copper prices,” Mr. Cai added, giving a no clear view on high-end copper price.
At the panel discussion, Wen Yue, deputy general manager, Tongling Nonferrous Metals Group Shanghai International Trade Company, expected copper prices to swing in a wide range in 2017, citing political uncertainties and quick inflows of news and capitals.
SMM expects copper prices in China’s market to rise at first, and then fall in 2017, with price between 36,800-51,700 yuan per tonne.