Copper moved up today on news that a consortium led by a unit of China Minmetals Corp., a state-controlled miner, paid at least $5.8 billion for Glencore Xstrata’s Las Bambas mine in Peru.
A Wall Street Journal analysis said the mine is a strategic acquisition as China continues to modernize its economy and urbanize its towns and cities, despite slowing economic growth. China consumes around 40% of world copper supply, a commodity used to make computers, refrigerators, cars, plumbing equipment and power lines, to name just a few applications.
With a 2.3 percent increase on Monday, April 14, Chinese copper bar was the biggest mover on the Copper MMI®. The cash price of Chinese copper rose 2.3 percent to CNY 49,600 ($7,958) per metric ton. Following a two-day drop, the price of Chinese copper wire increased by 0.3 percent to CNY 47,580 ($7,634) per metric ton. For the fifth consecutive day, the price of Chinese bright copper scrap held flat at CNY 44,300 ($7,108) per metric ton.
After falling for two days, the Japanese copper cash price rose 0.1 percent to JPY 705,000 ($6,948) per metric ton. The price of US copper producer grade 122 remained essentially flat at $3.76 per pound. The price of US copper producer grade 102 saw little movement yesterday at $3.95 per pound. The price of US copper producer grade 110 held steady around $3.76 per pound.
The copper 3-month price saw little movement on Monday on the LME, closing out around $6,626 per metric ton. The cash price of primary copper showed little movement on Monday on the LME at $6,637 per metric ton.