Data: SHFE, DCE market movement (Sep 23)

[SMM Copper Cathode Rod Flash] Due to weak new order continuity, SMM expects the operating rate of copper cathode rod enterprises to increase by 0.95 percentage points WoW next week. However, copper prices fell sharply in Thursday's night session, and the lower price center boosted downstream pricing activity, creating the possibility that next week's operating rate may rebound beyond expectations.

[SMM Copper Cathode Rod Flash] Copper cathode rod enterprises' inventories showed a divergent pattern. Amid high copper prices and high premiums, enterprises only restocked as needed, with raw material inventories down MoM; downstream cargo pick-up slowed down, with finished product inventories up MoM.

[SMM Copper Cathode Rod Flash] The operating rate rose this week mainly due to production resumptions at enterprises that had previously halted or cut production. However, end-use demand remained weak, new orders were scarce, and the surge in copper prices suppressed downstream procurement. With insufficient rigid demand from end-users such as wire & cable and enamelled wire, enterprises adopted a wait-and-see stance and operating rates continued to weaken. SMM expects the operating rate of copper cathode rod enterprises to increase by 2.37 percentage points WoW next week.