Japan Official Cu Ingot Price Rises by 10,000 yen/t

JX Nippon Mining & Metals announced on Wednesday the firm increases the official copper ingot price by 10,000 yen to 670,000 yen per tonne for August shipment to reflect rebound of price at London Metal Exchange. The averaged monthly price increases to 669,500 yen.

LME settlement increased by US$ 110.50 to US$ 7,315.50 per tonne on Tuesday from previous day. The price increased with higher purchase for nonferrous metals when nonferrous metal demand is expected to keep firm after Shanghai stock market increased with news for month to month higher Chinese real estate market price in July.

LME copper ingot inventory keeps decreasing toward 400,000 tonnes level. The stock level is near 30% lower than the peak of more than 550,000 tonnes in February. However, the market is uncertain with several factors including US economy recovery. Higher yen rate could also impact on Japanese official price.

Copper scrap dealers around Tokyo increased the scrap purchase offer after the official copper ingot price increase announcement. However, the transaction is still thin even after major holiday in mid-August. The dealers try to purchase No.1 copper wire scrap at 610 yen per kilogram level.

Mitsubishi Materials announced on Tuesday the firm decreases the official lead ingot price by 5,000 yen to 230,000 yen per tonne for August shipment to reflect lower LME price. The averaged monthly official price decreases to 229,700 yen. LME lead settlement increased by US$ 72.50 to US$ 2,113 per tonne on Tuesday from previous day. However, the LME price was US$ 54.50 lower than the level on August 6, based on which Mitsubishi Materials revised the official price previously.