The weekly Davis Index for #1 copper wire (Berry) settled at $7,721/mt, up by $339/mt from $7,382/mt, cfr India port driven by the gain in the three-month LME copper contract. Participants reported slowing of imports as buying decisions were postponed due to increase in scrap prices in addition to subdued demand from the downstream industries.
The weekly Davis Index for #copper wire and tube (Berry Candy) settled $7,356/mt, up by $287/mt from $7,089/mt cfr India port.
The weekly Index for #2Copper Birch Cliff settled $6,787/mt cfr India port, up by $147/mt. The spreads for #2Copper Birch Cliff cfr India widened to 83.5pc of the three-month LME copper contract from 85pc the prior week. Davis Index heard that importers turned to Australia to obtain Birch Cliff at 82pc of LME.
Market participants anticipate further change in the copper prices on LME in the next few weeks but are unsure about the price direction. Due to volatility in the three-month copper contract on LME, traders in South East Asia held back purchase of scrap.
Davis Index heard that exporters continued to struggle to meet inspection standards in China. As a result of this, copper ingot exporters reported no change in the Chinese offers despite China allowing high-grade copper scrap imports.
Pakistan and China
Exporters from Pakistan and India heard Chinese bids at $95pc from $94-96pc of LME for copper ingots.
LME three-month copper contract up by $312/mt to settle at $8,127.5/mt from $7,815.5/mt on Dec 30.