Scrap copper prices opened low this week, with market transactions stagnant and enterprise start-up rates down. Bright copper prices in Hebei Baoding were at RMB60,600/tonne; scrap purple copper in other markets fell RMB1,200/tonne. Bright copper prices were at RMB60,600-60,800/t in North China, RMB61,000-6,200/t in East China and Central China, and around 6,2200 with 3% tax. Weekly transaction activity range in 24-51 points ring than last week basically flat, Thursday prices rose traders shipping enthusiasm high, driving the transaction index tail up, fine scrap spread 1467 yuan / ton, due to electrolytic copper supply tensions scrap copper high price outflow, the spread on Thursday this week broadened, but the regeneration of the overall alternative weak.
As copper scrap prices began to fall last weekend, the suppression of the market's shipping sentiment, tight supply of raw materials to limit the production of recycled copper rod enterprises, coupled with the high cost of the day after processing copper scrap loss of 200-400 yuan / ton, from research to understand, Jiangxi, Hubei and other recycled copper rod enterprises production line from two reduced to one, or switch to anode production. Influencing factors lie in the fundamentals and macro resonance drive, overseas news of the continued fermentation of the U.S. debt default event, overlaid with the macro background of overseas economic weak recovery, the market risk aversion is high, non-ferrous sectors generally under pressure to run, followed by the traditional off-season demand in May weakened ringgit, scrap copper prices by multiple factors dragging down the shock. After the market to consider the spot fundamentals there is support, but high prices inhibit demand, copper scrap prices are expected to rise and fall.