Sun, surf and a seasonal retreat for copper and nickel prices?

摘要

The traditional summer slowdown in the base metals market has been absent in recent years, largely because demand remained robust and supply fell short of requirements due to industrial unrest and other factors. This year is likely to be different, however, with lower prices expected for both copper and nickel. Typically, the onset of summer sees industrial activity in the northern hemisphere slacken as consumers go on vacation and metals demand slows from the more-active second quarter. In the past this would have meant falling metal prices, but tight supplies in recent years resulted in rising prices. In the case of copper and nickel, prices remained much firmer than expected because of supply concerns. What about this summer? Will copper and nickel prices move lower? We believe lower prices this summer remain a strong possibility.