Inventories, Speculation Brings Copper Prices to New High Level - 2005 China Copper Market Commentary and Forecast for 2006

摘要

Despite the supply situation has much improved, copper prices broke the historical level and took on a new look in 2005, driven by the long time low inventory level. We forecast that copper market will be in surplus in 2006. But, the low inventory will be still supportive to copper prices. Therefore, copper prices in 2006 will average at the same level of that in 2005.