Copper Industry Morning Reading on March 6, 2024
Electrolytic copper: The overall spot transactions in the Shanghai market did not improve much yesterday, mainly due to the strengthening of copper prices. Traders reported that the demand for receiving goods in the downstream area is still relatively average. In addition, there has also been an inflow of imported copper recently, so the spot premium still remains weak. However, A few cargo holders are not very willing to ship goods at a large discount. They believe that there is some support around 100 yuan/ton. However, because there is a lot of inventory now, traders at this position are still relatively cautious when receiving goods.
Scrap copper: Yesterday, the price of bright copper in the East China scrap copper market was 63,600-63,900 yuan/ton, basically the same as the previous trading day. Copper prices rose slightly, and upstream holders were looking for high-priced shipments. Feedback was that the supply of goods was acceptable, and some manufacturers were in urgent need of raw materials. The purchase prices were slightly advantageous, but their wait-and-see mood was strong; Ningbo import and export traders reported that domestic and foreign inversions were serious and the market was thin. , holding back the goods and reluctant to sell, waiting for profits to return; downstream copper factories are in short supply and are more willing to purchase, but the prices demanded by cargo merchants are on the high side, and only some transactions have been completed.
Yesterday, the spot price of ordinary bright copper in the scrap copper market in South China was 63,600 yuan/ton, and the price of thick low-voltage cables was 63,800 yuan/ton. Copper prices rose slightly, and the market trading atmosphere was average. Upstream traders reported that there is currently a shortage of spot copper scrap in the market. Most of the scrap copper is in a state of price but no market, and most of the transactions are at a premium. In addition, due to high copper prices, traders are more cautious and are not willing to receive goods at high prices. Some traders have adopted Symbolic quote. Raw materials from downstream manufacturers are arriving in warehouses one after another, and the inventory level is above the safe level. The spot price of superimposed scrap copper is relatively high, and the overall purchasing willingness is average. The purchasing and planning are mostly adjusted based on the finished product orders.
Copper strips: The copper strip market has seen steady growth recently, while brass strips are still sluggish, prices are too low, and manufacturers are less willing to produce. The current demand for copper strips is acceptable, short-term prices can remain stable, and customer feedback on orders is okay. Copper foil is still tepid. It is difficult to increase demand in the short term and it is difficult to increase prices. In addition to lowering operating rates, overseas markets are also attracting more and more attention from manufacturing companies.
