The Copper Monthly Metals Index (MMI) increased by 7.8% for this month’s reading, as the copper price remains high but dipped below the $10,000/mt level.
Each month, MetalMiner hosts a webinar on a specific metals topic. Explore the upcoming webinars and sign up for each on the MetalMiner Events page.
Copper prices retrace
On May 10, the LME three-month copper price closed at $10,720 per metric ton, hitting record highs last month.
Since then, prices declined below $10,000/mt.
SHFE prices followed the same trend.
The price retrace might be due partially to the stern warnings issued by Beijing about market discipline and excessive speculation in an effort to cool off prices.
Moreover, on June 7, trade data from China showed that copper imports fell 8% in May compared to the previous month. This might have scared some investors, as lower imports could mean lower demand, which decreases buying interest.
This could also signal that the pace of economic growth might be slowing. Along with less market speculation, that could mean the price will correct and consolidate.