Weekly Copper Review: COMEX Futures Fall From One Month High

COMEX Copper soared to its one month high following excellent follow up buying as China copper demand acted as a strong factor. However, the metal corrected thereafter as a steep slide in crude oil weighed on the red metal. International Copper Study Group (ICSG) stated that World mine production is estimated to have increased by around 4.8% in the first two months of 2018, Production in Chile, the worlds biggest copper mine producing country, increased by 13.5% mainly because production in February 2017 was constrained by a strike at Escondida (world biggest copper mine). World refined production is estimated to have increased by about 3.3% in the first two months of 2018 with primary production (electrolytic and electrowinning) rising by 3% and secondary production (from scrap) increasing by 4.5%. Production in Chile was up by 5.2% supported by a 7% increase in electrowinning (SX-EW) production mainly because production in February 2017 was constrained by the strike at Escondida referred to previously. World apparent refined usage is estimated to have increased by about 3.9% in the first two months of 2018. China was the biggest contributor to growth with apparent usage (excluding changes in unreported stocks) increasing by around 9.2%, driven by an 8% increase in net refined copper imports and 3.5% increase in refined production. Preliminary data indicates that world ex-China usage declined by 1%.