Nonferrous metals Enter the "bumpy journey"

Weak demand inhibits price rebound-the lack of sustained demand from Beijing's Wu Zhengs has put pressure on a rebound in non-ferrous metals.　　Along with the advent of the consumption off-season, June copper, aluminum and other non-ferrous metals futures may lock the oscillation pattern. Supply pressure has been significantly boosted by government purchases and purchases, the domestic non-ferrous metal phase price out of a 4 consecutive months of rebound market. However, as prices rebounded sharply, the early squeeze of the enterprise profit space to reproduce.　　At the same time, in order to stabilize domestic employment, the Government came forward to encourage the production of enterprises, increased the possibility of restarting spare capacity, coupled with record imports, none of the future of the domestic metal market will not predict the excess pressure. From the production side, taking copper as an example, the National Bureau of Statistics showed that April 2009 China's refining copper production of 338,300 tons, compared with March growth of 6%, compared with the same period last year 2.9%, and this data also set the second highest copper production in China, after October 2007 357700 tons.　　January-April, China's cumulative copper production reached 1.26 million tons, an increase of 6.7%. Data from the Bureau of Statistics also showed that China's April semi-finished copper production was roughly flat to 806700 tonnes, while cable production decreased by 13% compared with last month.　　Shows refined copper downstream products market for upstream products digestion capacity is limited, therefore, domestic copper supply and demand in the period after the short supply, may return to supply and demand surplus stage. To make matters worse, in the past two months, China's metal imports have increased sharply, of which copper imports are a record. At the same time, the stock of copper in the previous period also climbed steadily, as of last week, its inventory reached 27690 tons.　　The increase in imports and the increase in domestic production will inevitably weigh heavily on the copper of demand in the short term. The emergence of a demand recovery or the premature death of a country's economic stimulus package, credit recovery and continued decline in the stock of Roentgen copper suggest that demand for metals is in the bud.　　Yet, as the global economy is not completely out of recession, the fundamentals of demand recovery are fragile. Domestically, while demand is slowly picking up, improvements in the overall demand environment are still relatively slow. For example, the impact of the revitalization of the non-ferrous metals industry is mainly in the long term, the short-term effect is poor, the power grid reconstruction project is long, although its demand for metal, but still difficult in the short term to change the plight of domestic metal demand, the implementation of home appliances to the countryside, due to the domestic market Nor is it possible to highlight its effects in a short period of time, and the obstacles to global economic recovery will still hinder our industrial exports for a long time. According to the recent survey of 25 copper rod enterprises by the trade information, the copper rod operating rate slowed down in May due to lower order demand in the downstream wire and cable industry.　　60% of copper-bar companies believe that orders will remain stable next month, with 32% of companies expecting fewer orders. In addition, the car industry and the real estate market negative news remains, but also increased the difficulty of metal demand recovery. Following Chrysler's bankruptcy protection, GM recently reported similar news, making the global auto industry worse. The latest figures show that 25 of the EU's new car registration in April fell 11.9%, and the Japanese Car Dealers Association released data also showed that Japan April car sales fell by 28.6% to 166,365 vehicles. As a consumer of metal, automobile industry has become a metal market vane after the real estate market.