Data: SHFE, DCE market movement (Jan 13)

This week, supported by the downward shift in the center of copper prices, downstream purchasing enthusiasm increased, and copper plate/sheet and strip enterprises maintained high production schedules. Among them, orders for copper strip performed better than those for brass strip. Some enterprises reported a concentrated release of downstream orders, resulting in tight spot copper strip supply and shipment pressure, and some enterprises had already begun to control the volume of orders taken. It was expected that the overall production schedules of copper plate/sheet and strip enterprises would remain ample in March.

According to SMM, supported by the pullback in copper prices, industry orders for enamelled wire improved, with the overall pace aligning with peak-season expectations. End-use demand recovered across the board, home appliance orders maintained peak-season performance, demand for power transformers remained steady, demand in the new energy sector gradually improved, and orders in traditional segments such as industrial motors and power tools also performed well. Against expectations of high production schedules among enterprises, the industry's operating rate is expected to continue rebounding to above 90%.

According to SMM, this week, a faster pace of downstream cargo pick-up combined with the concentrated release of new orders led to tight spot shipment availability at some copper enamelled wire enterprises, and the industry's days of finished product inventories fell to 7.28 days.