Copper prices decline|mueller copper fittings

 

The China Securities Journal reported on September 24: in September, both at home and abroad appear against a seasonal decline in copper prices, which is facing multiple bad overlay: downward pressures in the domestic economy; policy than expected; a resumption of growth in output and sluggish consumption season overseas exit QE the fed, interest rates trend is clear. Looking to the future, I'm afraid before the December decline in copper prices.
First of all, economic downturn, stimulus, or as anticipated. Macro viewpoint, August data confirm the field of industrial production, retail sales and fixed-asset investment slowed. Compared with the past two years, the economy stabilized this year, a much more difficult, the estate depth adjustment, infrastructure constrained by fiscal and debt difficulties have great power for space. From the current view, steady growth time has gradually pulled ahead of the launch of the policy, but the policy effects last even less time, reform dividend needs time to release.
In mid-September, the Central Bank issued a SLF and lower the repo rate mix. Stable employment and the absence of widespread defaults on the premise, capable of 7.3%-7.4% of growth of China's economy this year, Government is unlikely to introduce substantial stimulus measures, such as full rate cut or reduced. Slower economic growth, consumption of commodities, characteristics of unit GDP consumption occurs, so bulk industrial copper as a raw material, its demand growth would slow further.
Second, output growth accelerated as expected. Due to fears that China's copper smelting capacity to keep pace with the international expansion of copper, so copper smelting capacity copper supply will come from China, but those fears eased in the second half, supply pressure increased significantly. There are several reasons: first, global copper mine expansion continues, factors of restricting the supply of copper in the first half to dissipate. In August, the Freeport maikemolun copper-gold deposit in the company to resume its copper concentrate export business in Indonesia mine, Indonesia's Grasberg copper mine capacity of 750,000 tonnes in September, Newmont Mining have been promised to receive previously export certificate. In addition, Mongolia copper exports to China also rose sharply.

The China Securities Journal reported on September 24: in September, both at home and abroad appear against a seasonal decline in copper prices, which is facing multiple bad overlay: downward pressures in the domestic economy; policy than expected; a resumption of growth in output and sluggish consumption season overseas exit QE the fed, interest rates trend is clear. Looking to the future, I'm afraid before the December decline in copper prices.

 

First of all, economic downturn, stimulus, or as anticipated. Macro viewpoint, August data confirm the field of industrial production, retail sales and fixed-asset investment slowed. Compared with the past two years, the economy stabilized this year, a much more difficult, the estate depth adjustment, infrastructure constrained by fiscal and debt difficulties have great power for space. From the current view, steady growth time has gradually pulled ahead of the launch of the policy, but the policy effects last even less time, reform dividend needs time to release.

 

 

In mid-September, the Central Bank issued a SLF and lower the repo rate mix. Stable employment and the absence of widespread defaults on the premise, capable of 7.3%-7.4% of growth of China's economy this year, Government is unlikely to introduce substantial stimulus measures, such as full rate cut or reduced. Slower economic growth, consumption of commodities, characteristics of unit GDP consumption occurs, so bulk industrial copper as a raw material, its demand growth would slow further.

 

 

Second, output growth accelerated as expected. Due to fears that China's copper smelting capacity to keep pace with the international expansion of copper, so copper smelting capacity copper supply will come from China, but those fears eased in the second half, supply pressure increased significantly. There are several reasons: first, global copper mine expansion continues, factors of restricting the supply of copper in the first half to dissipate. In August, the Freeport maikemolun copper-gold deposit in the company to resume its copper concentrate export business in Indonesia mine, Indonesia's Grasberg copper mine capacity of 750,000 tonnes in September, Newmont Mining have been promised to receive previously export certificate. In addition, Mongolia copper exports to China also rose sharply.

 

 

Tags: mueller copper fittings