Copper Reclaims Six Dollar Level on Post Holiday Chinese Industrial Recovery

The China Restart Bid

With the Lunar New Year break over, physical trading in Shanghai has resumed. Initial bid-offer spreads indicate a tightening market as distributors look to replenish inventories that were depleted over the winter.

Supply Side Scarcity

Operational hurdles at major mines in Chile and Peru continue to restrict refined output. This lack of supply-side response to high prices is creating a permanent scarcity premium for high-grade copper cathode.