Indian copper prices showed a declining trend in the past week (2-9 May). SteelMint’s assessment for copper armature scrap prices stood at INR 718,000/t ($9,294/t) today, falling by INR 8,000/t ($104/t) w-o-w.
This decline was reflected in primary copper wire rod prices which were at INR 790,000/t ($10,226/t), down INR 17,000/t ($220/t) w-o-w. Secondary copper wire rod prices were also down by INR 8,000/t ($104/t) on a w-o-w basis to INR 767,000/t ($9,928/t).
LME three-month copper prices fluctuated in the week and touched the level of $9,415/t on 6 May, down $354/t against 29 April followed by fluctuating stock levels last week. LME-registered warehouses recorded stocks of 156,225 t in the beginning of May. However, stocks increased significantly by around 9% w-o-w to 170,025 t on 6 May, SteelMint learnt. The reason behind falling copper prices was the uncertainty in the market and the Covid-19 outbreak in China, which is the biggest copper market in the world along with dampened demand, sources informed SteelMint.
Moreover, the impact of negative MCX prices was reflected in domestic market prices. One-month future contract prices of copper cathodes fell by 2% to INR 746,000/t.
China’s copper imports down in April
China’s copper imports in April fell 4% from the same month a year ago, customs data showed, as lockdowns across the country hit the manufacturing activity and consumption.
The world’s top metals consumer bought in 465,330 t of unwrought copper and products in April 2022, down from 484,890 t in April 2021 and compared with 504,009 t in the previous month, according to data from the General Administration of Customs.
China’s factory activity contracted for the second straight month in April, hitting the lowest level since February 2020 as widespread Covid-19 lockdowns halted industrial production and disrupted supply chains.
Copper imports by China in the first four months of CY22 stood at 1.94 mnt, up 0.9% from the same period last year.
.jpg)
Leave a Reply