Super four cable companies wait and see copper prices

The results of a recent survey of 21 domestic wire and cable companies show that 40% of cable companies continue to maintain short-term thinking.

45% of cable companies continue to look bearish. The recent rebound in copper prices is limited to a technical adjustment after a sharp decline. Copper prices will fall again after countervailing. Recently, no matter whether China's economic data or economic data from Europe or the United States have shown any major positives, it indicates that the global economic recovery process is still repeated. If the price of copper cannot be boosted by a strong favorable move in the downtrend channel, it will be difficult for copper prices to move out of the reversal market.

10% of the cable companies are bullish on the market. On the one hand, it is determined that there is indeed improvement in copper consumption in the second quarter, which has already been shown in domestic stocks. The inventory in the bonded area and the stocks in the previous period both fell, and even some regions in the country experienced tight supply of electrolytic copper. In addition, the recent smelter's plan to reduce production due to the shortage of raw materials for copper scrap supply and ongoing ongoing copper concentrate processing and re-export operations will all make the consumption more sensible in May. Under this circumstance, it is expected that the price of copper will be supported and it will start to rebound.

5% of the companies look flat after the market, the recent copper prices fell quickly after the 50,000, indicating that 50,000 is still an important psychological support for the market, 50 thousand tier 1 copper prices have been greater buying support. Coupled with the peak season of copper consumption in the second quarter, it is no longer a good time to continue short selling. However, the market's confidence in copper prices is difficult to rebuild in the short term, so the recent copper price will consolidate around 51,000 yuan/ton on the next line, waiting for the market to be guided by new directions.

Another 40% of the companies stated that the recent volatility of copper prices is too severe and there are many uncertainties. It is difficult to judge the direction of copper prices.