Shanghai bonded zinc, nickel, copper stocks all fall in December on year-end destocking; aluminium inventories rise

Destocking activity in Shanghai bonded warehouses led to a near 10% month-on-month drop in zinc and nickel inventories in December, while copper also edged down and aluminium stocks saw a “normal fluctuation upward,” market participants told Fastmarkets at the start of January.

Shanghai-bonded copper stocks edge down in December
Copper stocks in the Shanghai bonded zone dipped in December amid a slight uptick in year-end sales, after a 3.7% month-on-month rise in November.
Fastmarkets assessed Shanghai-bonded copper stocks at 260,500-265,000 tonnes at the end of December, down 0.4% from 262,000-266,000 tonnes at the end of November.
“At the end of the year, some are trying to clear stocks,” a Shanghai-based trader source said.
“Lower offers are seen in the market amid year-end destocking,” a second trader in Shanghai told Fastmarkets.
A third trader in Shanghai said that outflows from the bonded area were being limited by a negative import arbitrage and the low level of inventories.

The average loss for importing the red metal into China was at $85.1 per tonne in December, compared with an average loss of $55.2 per...

Published

Anna Xu

Violet Li

Hui Li

Sally Zhang

January 02, 2020

12:14 GMT

Shanghai