SHANGHAI (SMM): China’s copper concentrate output fell to 13,300 tons on the month in October, to 168,000 tonnes, and is expected to fall further in November.
Output grew 6.24% year-on-year to 1.57 million tons January-October. Most mines in Gansu, Qinghai and Xinjiang suspended production in October due to falling temperatures and will not reopen until March. Weak copper prices will also cool production enthusiasm at Chinese copper mines.
SMM expects China’s copper concentrate output to drop in November.
Although the interest rate cut announced by China's central bank last Friday with an aim to ease funding problems with Chinese companies drove a rally in copper prices the same night, analysts are far from optimistic about copper market outlook in December.
Source: Shanghai Metals Market
