Copper Drops in Shanghai as Gain in Imports Increases Supplies
Copper futures fell in Shanghai after China’s customs said that imports of the industrial metal gained last month, stoking speculation that stockpiles may climb.
Inbound shipments of the refined metal advanced 7 percent from the previous month to 317,947 metric tons, according to final data today from the Beijing-based customs office. The shipments for the month were a record, said Zhao Kai, an analyst at Jinrui Futures Co.
China has boosted imports of the metal used to make pipes and wires as the government ramps up the country’s 4 trillion yuan ($586 billion) stimulus program to counter the impact of the global recession.
The latest shipments will “further damp prices, especially at a time when we feel demand is cooling,” said Edward Fang, an analyst at China International Futures (Shanghai) Co.
August-delivery copper on the Shanghai Futures Exchange fell as much as 0.7 percent to 35,810 yuan a metric ton, and traded at 35,860 yuan at 9:24 a.m. local time.
From Bloomberg News.
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