Price Gap Between Copper Cathode and Secondary Rod Widens, Boosting Secondary Rod Demand

LME copper inventories increased for two consecutive trading sessions. On August 14, LME copper inventories increased by 2,850 mt to 207,800 mt, and on August 17, inventories further increased by 15,700 mt to 223,600 mt. The cumulative increase over the two trading sessions was 18,600 mt, representing a growth rate of about 9.1%. In particular, warehouse inflows reached 17,500 mt on August 17, driving a sharp rebound in inventories that day. In terms of warrant structure, as of August 17, LME copper registered warrants increased to 123,100 mt, up by 20,000 mt from August 14. Registered warrants increased significantly and the ratio of cancelled warrants declined; as inventories increased, intraday copper prices touched a low of around $14,000/mt.