Copper will remain at current levels as long as there will be no sign of agreement between China and the United States

Cochilco: Copper will remain at current levels as long as there will be no sign of agreement between the United States and China

Friday, July 13, 2018

Economy and e-commerce

Future Value

The Chilean Copper Commission (Cochilco) predicted that the price of the commodity could remain at current levels in the near term if there is no sign of negotiations in the so-called "trade war" between the United States and China, so the pressure on its price will continue in the As he noted in his weekly report on commodity prices, where he attributed this is precisely the trend recorded in recent days, and that copper is trading at its lowest level in a year (US). "This week, escalating trade tensions between the United States and China has accentuated the trend of liquidation of the buying positions by mutual funds and hedges, a situation that is not likely to be a problem. is not planned. This will keep the price of copper at the current level until there is any sign of negotiation or tariff agreement between the two economies, "he said in his report.

On the supply and demand fundamentals side, Cochilco pointed out that "The decline in the price of metal has led to opportunity purchases, but they have not had the strength to reverse the negative price trend. "

" However, they reveal that the consumption of the metal remains solid. This has been demonstrated by the fact that stocks in the metal exchanges have recorded one of the largest weekly losses of the current year. This was mainly happening in wineries located in Asia, "apunt."