Copper experienced another up and down week on the LME and elsewhere as last Tuesday’s Chilean Earthquake created a momentary scare about supplies of the metal. Chile is the largest single-nation producer of copper.
The spike was short-lived as analysts from CRU and elsewhere reported that there’s still a glut of available product that far outstrips demand. Aside from natural disasters and analyst reports, the Chinese investment warehousing of copper still plagues the metal’s price and, despite tons of copper being locked up in Shanghai’s warehouse district, demand has not pushed prices any higher as of yet.
After falling 14.7 percent, Korean copper strip landed at KRW 9,640 ($9.12) per kilogram and making it the week’s biggest mover on the weekly Copper MMI®. The Japanese copper cash price rose 4.5 percent last week to JPY 722,000 ($6,948) per metric ton. The price of US copper producer grade 122 rose 0.3 percent over the past week to $3.74 per pound. A 0.3 percent gain landed the price of US copper producer grade 110 at $3.74 per pound. The price of US copper producer grade 102 rose 0.3 percent over the past week to $3.93 per pound.
Chinese copper prices were mixed for the week. The price of Chinese copper bar rose 1.7 percent over the past week to CNY 48,230 ($7,766) per metric ton. This was the third week in a row of increasing prices. At CNY 48,430 ($7,798) per metric ton, the Chinese copper cash price finished the week 1.7 percent higher. Chinese copper wire saw its price rise 1.5 percent over the past week to CNY 47,305 ($7,617) per metric ton. At CNY 44,300 ($7,133) per metric ton, the price of Chinese bright copper scrap did not change since the previous week.
The copper 3-month price shifted up 0.9 percent on the LME to close at $6,610 per metric ton this week. Last week, the cash price of primary copper increased by a slight 0.8 percent on the LME to $6,606 per metric ton.
The Copper MMI® collects and weights 12 global copper metal price points to provide a unique view into copper price trends. For more information on the Copper MMI®, how it’s calculated or how your company can use the index, please drop us a note at: info (at) agmetalminer (dot) com.