2022 Copper Market Post National Day Holiday Forecast |
|
Description |
Forecast |
Refined Copper |
Copper price will rise in short term due to downstream restock after holiday. In long term trend, copper price will decrease due to bearish macro, weak demand and increasing supply. |
Copper Rod |
Processing charge remains strong; Refined-scrap price spread expands if copper price surges; Refined rod producers keep normal production while secondary producers may halt output; Post holiday transaction will be cautious due to expanding backwardation. |
Copper Foil |
The release of the new energy vehicle purchase tax exemption policy will further boost the demand for the whole industry chain of new energy, which will also drive the demand for copper foil; The continuation of the traditional peak season of the consumer electronics industry and the pull of demand for Christmas consumption seasons, the demand side of electronic circuit copper foil will gradually pick up. |
Copper Scrap |
As copper scrap lost price advantage and utilization rate remained at low level around 40%, in short term downstream may restock post-holiday but in long term demand will weaken. |
Copper Plate/Strip |
Domestic copper plate and strip enterprises is basically under normal production. September copper plate orders compared to August rose significantly. Market expects October demand to further recover, coupled with domestic new energy vehicles and photovoltaic consumption is good, so after the National Day holiday, copper plate/strip supply and demand will rise steadily. |
Copper Tube |
This year's pre-holiday stock is relatively light, due to large fluctuations in the exchange rate, the export orders are not good. Enterprises purchase raw materials on demand according to orders. Entering the National Day holiday, downstream enterprises enter the equipment maintenance stage, and the holiday time is expected to be 10-15 days. From a conventional point of view, the terminal refrigeration market will gradually start in October, but due to weak market sales this year, the peak season in October may be postponed to November. |
Copper Bar |
Currently in the "Golden September" and "Silver October" peak season stage, production enterprises have released a certain delivery demand before the holiday. Downstream demand recovery speed is slow, but the overall order volume is stable and increasing. In addition, copper prices have recently fallen, many traders enter the market at a low-price, and the willingness to purchase is strong, so the market still has good expectations for the future. |
Data Source: Mysteel |
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