China's March copper demand up 22% to 822,500 mt on real estate support
Hong Kong (Platts)--16 May 2017 818 am EDT/1218 GMT
China's national copper demand in March rose 22% on the month to 822,500 mt from 676,500 mt in February, buoyed by the real estate and air conditioning sectors which are key copper consumers in China, Jiangxi Copper Corp said Tuesday in its copper sector report.
China's national real estate investment in the first quarter hit Yuan 1.93 trillion ($289 billion), up 9% on the year, while national air conditioning output in March surged 33% on the year, the report showed.
Chinese bonded warehouses added copper stocks of 50,000 mt in March, compared with 110,000 mt added in February, the data showed.
China's net refined copper imports in March were 248,000 mt, up 19,000 mt from net imports of 229,000 mt in February, while China's national refined copper output in March was 642,000 mt, up 7,500 mt from 634,500 mt in February, its data showed.
The report said that that based on the 'One Belt, One Road Summit' that kicked off on Sunday in Beijing, an extra Yuan 1 trillion will be poured into the Silk Road fund, with China having signed co-operation deals with more than 30 nations in infrastructure, resources, energy, production and trade investment.
It therefore forecast the resultant demand for infrastructure to bolster demand for commodities.
The One Belt One Road initiative is judged to be among the most far reaching Chinese foreign policy moves in decades.
The company said the worst period for copper is over, and forecast Shanghai Futures Exchange's key copper contract prices to rebound this week, with prices seen moving in the Yuan 45,000-47,000/mt range in the near term.
The most active 1707 SHFE copper futures contracts to be delivered July 2017, closed at Yuan 45,170/mt ($6776) Tuesday, down Yuan 30/mt from Monday, SHFE data showed.
Looking at recent 2 quarters average of 0.21sen EPS, assuming coming 4 quarters earning the same rate, it will be EPS 0.8 sens. For a growth stock, PE of 20-30 is reasonable. Therefore, the TP will be 16-24 sens. =)
These few days exceptionally high volumes but today is downward bias. Difficult to read trend. Next few days may be clearer. Hopefully it's not like last time 16.5 whack down to 10.0. If this happens again, time to leave.
Quote Posted by SilentTrader > May 17, 2017 04:54 PM | Report Abuse Today is T+3 for 11/5/2017 high volume. Tomorrow MIGHT be good. Nobody knows. GL HF =)"
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Striker90
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Posted by Striker90 > 2017-05-15 21:11 | Report Abuse
basically q3 result is secured up, just how much in% and the hint for business prospect