China’s State Reserves Bureau Buying Bonded Copper

Reuters reported today that the State Reserves Bureau for China has bought 2000,000 tonnes of imported copper between March and April. According to its sources, Reuters said that the stockpiler plans to move the copper stocks to state warehouses by June, and will also sell off older copper to rotate stocks.

As quoted in the market news:

Further purchases by China’s State Reserves Bureau (SRB) could help absorb the small surplus forecast to weigh on the global refined copper market this year and help support prices that have already dropped nearly 10 percent so far this year. Benchmark three-month copper contract on the London Metal Exchange fell to $6,321 per tonne on March 19, the lowest since mid-2010, making imports attractive. Copper prices have since rebounded, trading around $6,640 on Wednesday.

Click here to read the full Reuters article.