The price of copper increased on Friday due to a sharp drop in the dollar and positive data from China, especially the banking sector and external trade, which strengthened the expectation of a healthy demand for industrial metal for the second quarter.
According to data from the Chilean Commission Copper (Cochilco), the UK spot price closed today's trading at the London Metals Exchange to $ 2.94382 per pound, so the red metal reached 0.99% compared to yesterday.
However, the three-month futures for copper increased by almost 2% to $ 2.9633 per pound.
"We expect copper prices to reach $ 6,700 (tone or US $ 3.03 per pound) in approximately three months," Citi's analyst Oliver Nugent told Reuters.
Exports of the world's second largest economy rose by 21.3% after the February decline. This figure contrasted with the drop in imports for the second consecutive month, which deepened its cut from 0.3% in February to 1.8% in the third month of the year.
"The increase in exports is more than offset by the new collapse of imports (…) This reflects the Chinese government's efforts to boost its country's economic growth and remain competitive, while the trade war with the United States is not yet over," said Cesar Valencia, analyst at Alpari Chile.
President of Antofagasta pl. This year, with the increasing trend of creating new sources of demand, Jean Paul Luksic emphasized favorable prospects for the price of copper.
"Our opinion is that the copper market is still a narrow aspect with a forecast of 2019 and not positive for copper prices," Lukšič said in a letter to the shareholders of the annual report of the mining company.
According to data from Cochilac, imports of raw copper (refining and copper products) in March recorded an annual decrease of 9.97%, while imports of raw copper (refining and copper products) declined yoy by 9.97% yoy.
copper concentrations increased by 10.4%. "The constant expansion of copper melting capacity has led to the replacement of imports of refined copper with concentrates, as increased competition for concentrates caused a significant drop in processing and refining costs that the smelters charge for processing.
China's foreign trade is slowing down and up to March by 3.7%