SMM Evening Comments (May 9)

[SMM Brass Billet News Flash] Looking ahead to next week (5.8-5.14), as the impact of the holiday fades, SMM expects the industry operating rate to rebound 7.73 percentage points MoM to 52.4%. However, judging from enterprise order-taking feedback, the industry has gradually entered the traditional off-season, and operating levels will be difficult to restore to pre-holiday levels.

[SMM Brass Billet Brief] This week (5.1-5.7), the operating rate of the brass billet industry was 44.67%, down 7.89 percentage points WoW. Affected by multiple factors including production cuts by some enterprises during the Labour Day holiday (1-2 days off), weak new orders, and persistently high raw material prices, the operating rate pulled back notably this week.

【SMM Copper Cathode Rod News Flash】The operating rate of copper cathode rod producers fell 5.77 percentage points WoW to 60.58% this week. The extended Labour Day holiday and production cuts put pressure on operations. After the holiday, copper prices rose but downstream orders remained stable. Orders in the wire & cable and enamelled wire industries were steady after the holiday, with operating rates pulling back notably.