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Gold/Mining/Energy : Copper - analysis -- Ignore unavailable to you. Want to Upgrade?

To: LoneClone who wrote (1760)	4/23/2007 9:08:09 AM
From: LoneClone	Read Replies (2) \| Respond to of 2131

Metals - Copper rises on strong Chinese imports, fall in global stocks UPDATE 04.23.07, 7:23 AM ET forbes.com (updating prices, adds details) LONDON (Thomson Financial) - Copper rose on figures showing robust imports by China, but gains were capped by the resolution of a strike at an Indonesian mine which had stoked supply fears. China, which is the world's largest consumer of the metal, imported 208,014 tonnes of refined copper and alloys in March, a rise of 142 pct from the same month last year, the Chinese Customs Office reported. Further, Chinese production is flat at 5 pct per year or even less, 'keeping the balance sheet for copper in the second quarter tight,' said JP Morgan analyst, Michael Jansen. Also helping propel prices, inventories stored in LME-certified warehouses across the globe fell 925 tonnes to 147,100 tonnes, said the LME in a daily report. Copper inventories at LME-registered warehouses are down by around 22 pct since the start of February. But gains were limited after a strike which fed fears last week about supply from Freeport McMoRan's Grasberg mine in Indonesia was called off after workers were offered a pay rise. 'This is going to ease the tight supply situation,' said analysts at Dresdner Kleinwort. At 10.55 am copper for three-month delivery stood at 7,965 usd, against 7,955 usd at the close on Friday. Copper had hit a seven-month high of 8,100 usd on Tuesday of last week on supply fears from Indonesia. William Adams, BaseMetals.Com analyst, said higher copper imports into China, coupled with the recently reported 11.1 pct rise in China's GDP in the first quarter, mean the market is more likely to 'latch on to bullish news'. Copper was leading the rest of the base metals higher, except aluminium which was down slightly after the LME reported a rise in stocks on the day since Friday. Jansen at JP Morgan added steady stock markets were also supporting base metals today. 'Strong closes in the Chinese share markets continues to reinforce the bullish demand-side fundamentals currently evident in the base metals market,' he said. Nickel was sharply higher amid critically low stocks. Prices rose in spite of a small 18-tonne rise in stocks stored in LME warehouses, as reported by the LME. Inventories are still so low that they would not satisfy a day's worth of global consumption. Nickel was up at 49,400 usd from 48,800 usd. The metal, used extensively for stainless steel production, had struck an all-time high of 51,150 usd earlier this month. In other metals, zinc was up at 3,667 usd against 3,600 usd, lead was at 1,985 usd against 1,980 usd, aluminium was down slightly at 2,841 usd against 2,842 usd. Tin rose to 13,750 usd against 13,675 usd at Friday's close. anealla.safdar@thomson.com