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Any reason known?
Some not so good data out from China giving mixed signals copper prices back down losing lot of there move higher
Https://www.economies.com/commodities/copper-news/copper-climbs-to-one-month-high-43618
Copper prices are expected to mount a modest recovery next year as burgeoning demand from the energy transition offsets global economic weakness and healthy mine supply, a Reuters poll showed. COMMODITYPOLL01
Copper prices have shed about 15% since touching the highest in more seven months in January, pressured by weak economic growth in China, fears of recession elsewhere and high interest rates.
"We see copper grinding higher over the course of 2024 as the two opposing structural trends persist - the struggles of China's property market on the one side and the energy transition on the other," said Carsten Menke at Julius Baer in Zurich.
The cash copper CMCU0 contract on the London Metal Exchange (LME) is expected to average $8,625 per metric ton in 2024, a median forecast of 28 analysts showed.
That is 3% weaker than the forecast in the previous quarterly poll, but 7% firmer than Tuesday's closing price of $8,029.
Analysts forecast a surplus of the metal used in power and construction this year of 112,000 metric tons, with oversupply rising to 302,500 tons next year, up 61% from the previous poll in July.
Two US lead and zinc mines going on care and maintenance at the end of the month, low prices beginning to have effect on mines at he higher end of the cost curve.
https://www.miningweekly.com/article/nyrstar-says-to-suspend-operations-at-two-us-zinc-mines-2023-11-01
The global zinc market surplus widened to 22,000 metric tons in August from 2,900 tons a month earlier, data from the International Lead and Zinc Study Group (ILZSG) showed on Tuesday. During the first eight months of the year, the global surplus was 489,000 tons, up from a surplus of 156,000 tons in the same period last year.
The global lead market surplus widened to 47,600 metric tons in August from 26,200 tons in July, data from the International Lead and Zinc Study Group (ILZSG) showed on Tuesday. During the first eight months of 2023, ILZSG data showed a surplus of 71,000 tons versus a deficit of 141,000 tons in the same period of 2022.
Maybe there is isn't going to be as much copper about as people first thought, especially if this production loss is replicated elsewhere.
Although these are huge numbers financially and production wise it highlights how much of a minnow Caml is in the mining world.
SANTIAGO (Reuters) -Chile’s Codelco, the world’s largest copper producer, on Thursday posted a 65% drop in its pre-tax profit for the first nine months of the year, pulled down by lower production and higher operating costs.
Codelco’s pre-tax profit over that period totaled $917 million.
The state-owned miner, whose credit rating was recently downgraded amid lower prices and copper output, added that copper production between January through September fell 9% to 966,000 tonnes.
Core earnings over the nine month period totaled $3.24 billion, a 31% drop from the year-earlier period, while production costs spiked nearly 30% to reach $2.04 per pound.
The state copper producer announced earlier this month a leadership shakeup, just weeks after a new chief executive took office as the company takes a lead on negotiations with private lithium miners to increase state control over the industry.
Ditto dadean
If this goes to a £1 I'll load up the proverbial truck and take the ride back to £3 in the following years
Agreed, I suspect we shall hear an update in the near term on a new mining prospect.
This will be a poor time for owning copper businesses but a good time if your looking to buy them like caml is
Copper futures in London and New York were heading for a 2.5% weekly decline after sentiment was hurt by the stronger dollar, not least against the Chinese renminbi where the offshore yuan traded near a record low amid fears surrounding Chinese growth. A near 30% jump in copper inventories on the London Metal Exchange, the most in two years, added to the negative sentiment, despite the overall level of exchange monitored inventories in New York, London and Shanghai remaining at historical low levels.
China’s commodities import surged last month, ahead of an expected seasonal pick-up in economic activity and as government stimulus begins to filter through into raw materials and following months of destocking amid an uncertain economic outlook, the prospect for further stimulus measures are supporting a period of restocking to meet future demand for finished goods. Coal and copper ore shipments both jumped to all-time highs, crude oil imports reached the third highest level on record while iron ore imports reached a three-year high.
Overall, copper remains resilient and despite an environment of stagnant manufacturing PMIs, normally well correlated with copper demand, Chinese demand has remained surprisingly robust. Not least driven by strong, and government supported, green transition demand towards batteries, electrical traction motors, energy storage and grid upgrades.
The lack of big mining projects to ensure a steady flow of future supply continues to receive attention from long-term focused investors as it supports our structural long-term bullish outlook, driven by rising demand for green transformation metals and mining companies facing rising cash costs driven by higher input prices due to higher diesel and labour costs, lower ore grades, rising regulatory costs and government intervention, and significantly climate change causing disruptions from flooding to droughts.
For now, just like gold, we remain patiently bullish while the price of HG copper continues to trade within a $3.50 to $4 range. In the short-term, movements in the Chinese yuan will likely provide most of the directional price input as speculators, currently holding a small net short in HG copper, continue to adjust positions accordingly.
Hopefully not as low as £1, having no debt is a bonus at present inflationary pressures would be hitting hard if they were still paying debt down, Cu prices relatively healthy considering prices in 2022 were ath and compared to 2020 are up by a decent amount.
The issue here is lead and zinc demand seems to be declining mainly down to slowdown in the West plus after stating a small deficit would occur this year we have a surplus.
If it drops to £1 then p/e about 6 based on current prices so on that basis it's possible.
I think they'll be cutting the price on everything as recession hits the west and china not far behind. this will become the buying oppourtunity of the decade. how low does this go before we buy, £1? i think realistically it will go that low with everything else bar energy this winter
Been on slow decline 4 sometime share price since hitting 2 pound + with copper prices still on decline, markets poor, market cap 280 million, cash pile at sometime used 4 acquisition,
RBC cuts Central Asia Metals price target to 200 (240) pence - 'outperform'
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I BOUGHT TODAY GOOD LUCK ALL!
Lot nonsense many predicted copper be much higher now, most got wrong, better predict your self,
Did you bother to look?
The chart I am referring to is the last five years upto and including now.
Who cares in 5 years many things can change by then, most people now only hold stocks short term, too much uncertainty in world now
Alternative view to usual narrative which is a surprise.
LONDON, Oct 9 (Reuters) - Copper is overwhelmingly the top bet for base metals next year, attendees at a London Metal Exchange (LME) event said on Monday.
Copper got 53% of votes in an informal poll at the LME Seminar on which base metal is likely to have most upside in 2024, after a series of analysts presented their cases for each of the six base metals traded on the LME plus steel.
Steven look at a 5 year copper price chart tell me what you see.
Most copper miners ect all moving down on copper prices that have been falling and copper looks very vulnerable too fall further on weak demand,
It definitely has limited mine life which as stated why they are on the outlook for further opportunities if this is a worry try ATYM cash positive with a concentration plant on the go in a favourable jurisdiction.
I’m assuming this 2034 date includes a few years of decommissioning as the remaining recoverable copper is 111,600 tonnes (taken from the CAML website) this equates to less than 8 years mine life. Unless this is an incorrect resource estimate?