The Metal Bulletin Copper Concentrates Index rose to $93.70 per dry metric tonne
and 9.37 cents per lb
on September 15, up from $90.8/9.08 on August 28 and at its highest level since mid-April.
The jump came as traders destocked large volumes of material into China, where smelters were building inventories to cover their requirements through to January, so as to avoid tightening the spot market during contractual negotiations.
Benchmark negotiations traditionally start in October during London Metal Exchange Week, but informal “warm-up” discussions kicked off on Tuesday September 15, as Freeport McMoRan hosted a game of golf in Beijing for its Chinese customers, market sources said.
Members of the China Smelters Purchasing Team (CSPT) were rumoured to have bought about 100,000 dmt of concentrates in the first half of the month, and have now covered most of their requirements for...