Latest Update in the China Copper Market

The following table shows the ferrous and nonferrous metals movement on the SHFE and DCE on October 27, 2021

Shanghai base metals basically trended downward on Wednesday morning after US dollar hit a new high since October 18. Meanwhile, their counterparts on LME all cruised higher.

Shanghai nonferrous metals closed with mixed performances today. On the macro front, the “temporary” inflation lingers and is impacting more sectors.

he investment bank UBS said that copper physical premiums in various places have risen, and copper stocks on global exchanges have fallen, especially in China, according to MiningWeekly.

According to MiningWeekly, Fitch Solutions predicts that the copper output at global mines will increase 7.8% this year compared to last year due to the commissioning of multiple new projects and the low base in 2020 driven by the Covid-19 pandemic.

The following table shows the ferrous and nonferrous metals movement on the SHFE and DCE on October 26, 2021

Land supply (2021.10.11-2021.10.17): The total construction area of land supply in 100 cities decreased by 18.31% year-on-year. A total of 194 parcels were supplied in the week; of which 74 parcels were residential land, 27 parcels were commercial land, 73 parcels were industrial land, and 20 parcels were other kinds of land.

On October 26, the People's Bank of China (PBOC) implemented a seven-day reverse repo of 200 billion yuan in the open market, with the bidding interest rate of 2.20%.