Copper stocks continue to drop. Down another 3825 tons...

Copper stocks continue to drop. Down another 3825 tons TODAY.
Copper getting set up for a run to US$2.40/lb, and then we'll see ABY at $1 +++

China's copper imports strong on arbitrage; traders cautious

Hong Kong (Platts)--13May2009
China's copper imports continue to remain strong, supported by weaker LME
prices compared with Shanghai Futures Exchange values, according to industry
sources Wednesday. Some traders, however, are concerned about more copper
supply in future may put downward pressure on prices.

An analyst from Beijing Antaike, the state-run nonferrous information
provider, attributed active import activity to arbitrage opportunity between
the London Metal Exchange and Shanghai Futures Exchange. "Copper imports to
China remain strong as LME prices are weaker and this has encouraged more
import activity," he said. "Copper consumption is not showing a significant
rebound but imports are likely to hold strong in May as it's still profitable
due to weaker LME prices." He added that copper scrap supply remained tight in
China, driving more imports of refined copper.

"Although we are seeing stronger growth in copper scrap imports to China,
its supply in China is set to remain tight," the Antaike analyst said.

According to latest trade figures from the General Administration of
Customs, China's imports of unwrought copper and copper products over January-
April jumped 40.5% year on year to about 1.34 million mt. Imports in April
alone were 399,833 mt, up 6.6% from March's 374,957 mt.