The improvement of the epidemic situation in Shanghai also helped boost market sentiment. On Wednesday, Shanghai ended the containment measures against the epidemic and fully resumed normal production and life. The market had been worried that the slowdown of China's economic growth would affect metal demand.
Ms. Fuxiao, head of bulk commodity strategy of BOC International, said that China has various methods to boost the economy, and infrastructure projects are most related to metals, but it takes time, so it may not have an impact in the short term, and the time may span the second half of the year.
According to satellite monitoring data, global copper smelting activities rose in May, as the restorative growth of China's smelting activities offset the decline in Europe and other regions.
The disruption of large copper mine production in Peru, the world's second largest copper producer, also constitutes potential support for the copper market.
Sources said that two fires broke out in two key copper mines in Peru. The Las banbas copper mine of Minmetals resources and the Los chancas project planned by the Southern Copper Company of Mexico group were attacked by protesters respectively, marking the escalation of local protests.
The strong US dollar exchange rate on Wednesday put pressure on metals. A stronger dollar makes metals that are denominated in dollars more expensive for buyers in other currencies.
Other news includes sources who said that the premium offered by global aluminum producers to Japan from July to September was US $172-177 per ton, ranging from flat to 2.9% higher than the premium in the current second quarter.
Post time: Jun-02-2022