Survey of 24 major copper smelteries in China conducted by Ieforex shows that 90 percent of copper smelting enterprises in China are not optimistic about the future copper market, and are waiting for financial environment going stable.

 

The survey finds that there are several reasons behind low operation rate of copper smelting enterprises: scrap cooper suppliers are unwilling to supply; recent copper price slump has increased the production and operation risks; worldwide economic slowdown triggered by financial crisis has made enterprises worry about future demand.

 

Of the 24 copper smelting enterprises surveyed, 23 hold that copper market will keep going low as a result of influences offinancial storm; only one holds unclear opinion about the future. As for the key factors that influence copper price trend in near future, 75 percent of enterprises surveyed hold that copper price trend innear future will be closely related to China's macro economy and the financial market environment, and the supply and demand will produceal most no influence on the price trend of copper; while 25 percent are unclear about the factors that may influence copper price trend.

 

As for supporting price, 17 percent of the enterprises surveyed hold that there will be support when copper price falls around 45,000yuan/ton; another 17 percent think the price will drop around 40,000yuan/ton; 8 percent hold it will drop to 35,000 yuan/ton; and the rest 58 percent retain their opinions until the trend of financial market becomes clear.

 

Editor:    Ivy

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