Like a number of physical commodity markets, copper prices appear to have benefited from a positive shift in global risk sentiment although that change in attitude wasn't attributable to a specific and significant event overnight. However, copper was probably strengthened by a recovery in Chinese equities overnight and it is also likely that favorable Chinese copper demand news provided the market with an additional lift.
Chinese August implied copper consumption increased by just under 10%, while refined copper imports on a year over year basis were also up by just under 7%. Offsetting that positive copper consumption and refined imports news was a large weekly rise in Shanghai weekly exchange copper stocks of 10,428 tons. Another news item that may weaken copper prices this morning is a report that Japanese August rolled copper production posted another month over month decline. Daily LME copper stocks declined by 875 tons this morning, and are at 219,475 tons.
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