SMM Metals Reports

Collections of Major Banks Views on Copper Price in 2016

SHANGHAI, Jan. 6 (SMM) – In 2015, LME copper tumbled 25.38 percent, and the index of SHFE copper plunged 20.15 percent. After a tumbling 2015, how will copper market perform in 2016? The followings are views of major institutes on copper outlook for 2016. 
Societe Generale SA
The bank cuts the 2016 average copper price by 1.61 percent to $4,575 per tonne. 
In 2016, the global copper consumption is estimated to be weak, with growth around 2.5 percent, flat with 2015. Supply, on the other hand, will see a surplus of 300,000 tonnes. 
Goldman Sachs
The group expects a bigger downward risk for metals and commodities in 2016, and sees another 10% drop in copper, iron ore, Gold and coal by the end of 2016.  
Macquarie Bank
The commodity market is not expected to improve in 2016, and may worse further. 
Credit Suisse – Mining & Metals Team
The commodity market is estimated to improve slightly in 2016, with better outlook for copper, zinc and nickel. 
Bank of America Merrill Lynch
Copper prices will rebound in the second half of 2016, as smelters are expected to step up production cuts. 

Diverging Trends Expected in Base Metal Market, SMM Says

SHANGHAI, Dec. 30 (SMM) – Base metal prices are expected to see diverging trends on Wednesday, Shanghai Metals Market foresees. 
“Chinese market will be closed from this Friday for 2016 New Year holiday, and investors will gradually leave the market, and base metal market is expected to see price diverging,” SMM says. 
Copper: 36,200-36,700 yuan per tonne
Aluminum: 10,690-10,910 yuan per tonne
Lead: 13,050-13,200 yuan per tonne
Zinc: 13,300-13,500 yuan per tonne
Tin: 93,000-94,000 yuan per tonne
Nickel: 69,000-71,000 yuan per tonne

No Big Impact on Base Metal Prices from US Rate Hike, SMM Says

SHANGHAI, Dec. 17 (SMM) – Base metal market is not expected to suffer a big impact from US’s decision to hike interest rate on Thursday, Shanghai Metals Market foresees. 
“The US’s rate hike matches market expectations, and monetary conditions remain loose overall. Market has digested its impact in advance, so today base metal prices will not suffer bit influence,” SMM says.  
Copper: 35,300-35,800 yuan per tonne
Aluminum: 10,658-10,433 yuan per tonne
Lead: 12,900-13,050 yuan per tonne
Zinc: 12,550-12,750 yuan per tonne
Tin: 89,000-92,000 yuan per tonne
Nickel: 68,500-70,000 yuan per tonne
Note: All prices above are forecasts for most actively-traded contracts on each market. 

Inner Mongolia Liansheng Puts Online Over $1.5 Billion Aluminum Flat Rolling Project

SHANGHAI, Dec. 15 (SMM) –Inner Mongolia Liansheng Light Alloy Co. put online first two casting & rolling lines of its 10 billion yuan ($1.55 billion) aluminum plate, strip and foil project several days ago, local media reported. 
Another two casting & rolling lines are scheduled to enter operations on December 15, 2015 and all cold-rolling lines will come on stream by January 10, 2016, the media added. The project will put into use the world’s leading Hazelett continuous casting line in June 2016. 
Once fully operational, the project will produce 2 million tonnes of aluminum plate, strip and foil annually, according to the media.   

Qinghai Copper’s Cathode Copper Project to Start Construction

SHANGHAI, Dec. 10 (SMM) –China ENFI Engineering Co. signed a contract with Qinghai Copper Co. over construction of the latter’s cathode copper project, ENFI’s parent company said on its website yesterday. 
The project, using oxygen bottom blowing smelting technology, has an annual capacity of 100,000 tonnes, the company added.