SMM

As of Friday December 22, copper inventories in the domestic bonded zones grew 100 mt from December 15, according to the latest SMM survey. Inventories in the Shanghai bonded zone grew 400 mt to 8,200 mt. Inventories in the Guangdong bonded zone dipped 300 mt to 2,000 mt. The SHFE/LME copper price ratio continued to weaken during the week, gradually closing the import window for spot cargoes. The market trading also weakened due to the year-end factor. There are only three trading days on the LME in the week of December 25. Lacking improvement in the SHFE/LME copper price ratio, bonded inventory accumulation should continue.