Market pessimism has been repaired, and copper scrap has returned to normal levels

In March, due to the continuous decline in copper prices, many scrap copper sources were also in a state of serious losses during the year, and holders had to wait and see, which seriously aggravated the tension of domestic scrap copper sources
.
However, in late March, affected by the news of the trade war, copper prices broke downward, lost the 50,000 first-line support, market panic heated up sharply, many holders had to break their arms to survive, out of some high-priced inventory, the market supply increased in a short time, downstream manufacturers took the opportunity to reduce prices into the market to trade
.
However, this situation did not last long, and after copper prices stopped falling and recovered, market trading returned to calm
.

Due to the continuous decline in copper prices, the price difference of refined scrap copper in March has a significant narrowing trend, and the smallest has been less than 1,000 yuan, so the substitution effect on refined copper is not strong, which has promoted the demand for
refined copper to a certain extent.
In terms of imported copper scrap, China's copper scrap ban has a remarkable effect, with copper scrap imports falling by nearly 40% in the first two months of 2018, seriously affecting the supply and demand relationship
of the domestic copper scrap market.
It is understood that Tianjin and Guangdong have customer responses, and it is expected that the import approval issued by the government will not be obtained until mid-May, and the purchase of domestic copper scrap has begun to be gradually increased recently
.
It can be seen that in the next at least half a year, the supply situation of the domestic scrap copper market will only become more tense
.
For scrap copper prices, it is expected that it will also remain easy to rise and fall for some time to come
.