The weekly Davis Index for #1 copper wire (Berry) settled at $9,217/ cfr India port, up by $420/mt in sync with the gain in the copper prices on LME.
Imports into Asia have started recovering after an entire month where buyers preferred to remain on the sidelines due to the volatility in LME copper. China continues to buy cleaner scrap grades, and in Europe, imports continue before smelters shut down in August for five weeks. Participants from Pakistan reported trades picking up as Chinese demand for copper ingots remains satisfactory.
The three-month LME Copper contract rose by $84.5/mt to settle at $9,405.5/mt on June 30 from $9,321/mt on June 23. In the earlier week, the three-month LME Copper contract dropped by $217/mt to settle at $9,321/mt on June 23 from $9,538/mt on June 16.
The weekly Davis Index for #copper wire and tube (Berry Candy) settled at $8,747/mt up by $381/mt cfr India port. The weekly spread for #copper wire and tube tightened by 2.79pc from the previous week indicating rising demand from the Asian market as production resumed at full capacity.
The weekly Index for #2Copper Birch cliff settled $8,089/mt up by $189/mt cfr India port prior week. The participants reported trades of Birch Cliff at 86pc from 84-85pc of three-month copper contract on LME from the prior week.
The weekly Davis Index for yellow brass cfr India port settled at $5,479/mt, up by $50/mt from the preceding week. Across Asia, the index for yellow brass settled at $5,673/mt cif Asia port up by $244/mt. Exporters from the US increased yellow brass offers to 62.64pc from 60.5-61.5pc off three-month LME copper prices. Tightness in spreads for yellow brass indicates the bullish demand from Chinese participants.
Pakistan and China
The weekly Davis Index for copper ingots settled at $8,935/mt up by $33/mt cfr China port. Recently, Pakistani manufacturers reported an uptick in the demand for copper ingots from China. The index for Brass Billets cfr China port settled at $5,506/mt up by $7/mt from the prior week. Secondary manufacturers exporting brass billets to China reported a sudden drop in the demand compared with the past few weeks and reported that accepting Chinese bids is not a viable option considering the spike in the prices for imported honey.