Shanghai copper rises

31 Dec, 2014

The most-traded copper contract on the Shanghai Futures Exchange finished 0.2 percent higher at 45,290 yuan a tonne on Tuesday. "We think the price has a little bit more room to fall, I will not be surprised to see prices go down to $6,000 a tonne," said one metals trader in Shanghai.
"The low price has more to do with people's expectation on how Chinese demand is going to be in the coming year. Obviously, no one has strong confidence and tightening of liquidity in China has been causing some concern." China consumes about 45 percent of the world's copper. Growth in China's manufacturing sector likely slowed to a 18-month low in December, a Reuters poll showed earlier, adding to signs of a protracted economic malaise that may prompt authorities to roll out more stimulus measures.

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