Commodities Buzz: Global Copper Market Records Marginal Deficit In First Two Months Of 2018

The January to February 2018 Metals Balances Report released by the World Bureau of Metal Statistics (WBMS) indicates that copper market recorded marginal deficit during this period. The market ended in a deficit of 10 kt during the initial two-month period of the year. The copper market had reported a deficit of 263 kt during entire previous year. According to WBMS report, world copper mine production surged higher by over 5% during the first two months in 2018, to total 3.3 million tonnes. Meantime, refined copper output by world countries totaled 3.9 million tonnes in Jan-Feb ’18, significantly higher by 5.2% over the previous year. The refined production witnessed significant increases by 110 kt and 19 kt in China and Chile respectively.

The reported stocks of the red metal reported increase during Jan-Feb ’18. The stocks at the end of the first two months of the year closed at a higher level. The stocks were up by 221 kt when compared with closing levels during end-December 2017. The global copper consumption rose from 3.6 million tonnes in Jan-Feb ’17 to 3.9 million tonnes during the opening two months of 2018. The Chinese apparent consumption exceeded 2 million tonnes, accounting for 52% of the global demand. The EU demand too rose marginally by 0.8% when compared with January to February 2017 total. The monthly refined copper output totaled 1,929.8 kt during February 2018. The consumption during the month totaled 1,943.7 kt.