{"id":1187653,"date":"2020-06-01T14:57:11","date_gmt":"2020-06-01T19:57:11","guid":{"rendered":"https:\/\/www.mining.com\/?p=1025752"},"modified":"2020-06-01T14:57:11","modified_gmt":"2020-06-01T19:57:11","slug":"copper-iron-ore-prices-surge-on-signs-of-quick-global-recovery","status":"publish","type":"post","link":"https:\/\/juniorminingnews.com\/?p=1187653","title":{"rendered":"Copper, iron ore prices surge on signs of quick global recovery"},"content":{"rendered":"

Iron ore prices stayed clear of double digits on Monday on shrinking stockpiles in China, responsible for more than 70% of the world\u2019s seaborne iron ore trade, and persistent fears about supply from Brazil, the globe’s number two supplier. <\/p>\n

According to Fastmarkets MB, benchmark 62% Fe fines imported into Northern China were exchanging hands for $100.45 a tonne on Monday, just off 9-month highs last week. <\/p>\n

On the Dalian commodities exchanges, iron ore futures set a fresh record high of $108.92 a tonne, up more 20% from early April. Dalian launched iron ore futures trading in 2013. <\/p>\n

China forges more than half the world’s steel is forged and plants have been ramping up output and sucking in imports at a record pace.<\/p>\n

“Steel margins in China continue to trend higher, whilst there are concerns over Brazilian supply, amid the COVID-19 outbreak,” commodity strategists at ING said in a note quoted by Reuters.<\/p>\n

Drawdowns have brought port stockpiles to just over 109 million tonnes, as of Friday, the lowest since November 2016, according to SteelHome consultancy data.<\/p>\n

\n
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\u201cWe also note that the current recession is different to the usual downturns on various other metrics: the epicenter is in services, not manufacturing.”<\/p>\n

Bank of America <\/cite><\/p><\/blockquote>\n<\/figure>\n

Copper melt-up <\/h2>\n

Copper trading in New York jumped more than 2% to $2.4775 a pound ($5,460 a tonne) in afternoon trade, bring the bellwether metal’s gains since its mid-March low to more than 25%.<\/p>\n

CNBC reports<\/a> Bank of America analysts increased their price forecast for copper in 2020 by 5.4% to $5,620 per tonne. <\/p>\n

Given its widespread use in industry and construction, the expected contraction in the global economy this year could translate into double digit declines in copper consumption according to BofA:<\/p>\n

\n

However, they questioned whether falls in purchases to such a degree were realistic, and suggested that while Western economies may not completely mirror the rebound seen in China, the easing of lockdown measures would likely facilitate a rise in raw material purchases around the world.<\/p>\n<\/blockquote>\n

\n

\u201cWe also note that the current recession is different to the usual downturns on various other metrics: the epicenter is in services, not manufacturing; governments are gearing up to implement remarkable fiscal stimulus packages, reflected in China\u2019s NPC and Europe\u2019s Next Generation EU initiative,\u201d the note said.<\/p>\n<\/blockquote>\n","protected":false},"excerpt":{"rendered":"

Chinese iron ore stockpiles fall to near-four year low and copper price may escape worst of downturn says new report.<\/p>\n","protected":false},"author":4,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""}},"footnotes":""},"categories":[2849,949,369,4],"tags":[],"_links":{"self":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts\/1187653"}],"collection":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/users\/4"}],"replies":[{"embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=1187653"}],"version-history":[{"count":2,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts\/1187653\/revisions"}],"predecessor-version":[{"id":1187657,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts\/1187653\/revisions\/1187657"}],"wp:attachment":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=1187653"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=1187653"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=1187653"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}