China's copper exports have surged to record levels, driven by export arbitrage opportunities. Despite this, LME base metal prices are mixed, and there have been more copper deliveries into Asian warehouses. The copper market in China is experiencing a glut, with high inventories and stock levels nearing those seen during the pandemic and in 2016. Copper prices are trending upwards, influenced by record US equity highs and a weak dollar, even though LME inventories remain high and US new home construction is low. Market interpretations of rising Chinese imports as a sign of booming demand may be misleading, as much of the imports have gone into inventory-building. The market is also focusing on upcoming US PMI data.
Markets interpreted rising Chinese imports as a sign of booming demand, but copper moved way ahead of its fundamentals. Imports went to inventory-building, and Chinese copper stocks are near levels only seen during the pandemic and 2016. Find out more: https://t.co/Kv1Nhs7puA https://t.co/12rAn1PYgi
#Copper prices are trending upwards, driven by record US equity highs and a weak dollar, despite high LME inventories and low US new home construction, with a focus on upcoming US PMI data.
Copper glut in China. Oops. https://t.co/WMJapnF8bR
LME base metal prices mixed; more #copper deliveries into Asian warehouses https://t.co/NNA2ngphhh
China's Copper Exports Jump To Record On 'Export Arbitrage'Ā https://t.co/ziLPtKDWUW