Copper prices fell in Shanghai on Friday, extending recent declines following a renewed plunge in global equity markets and another big rise in copper inventories. The most-traded April copper contract on the Shanghai Futures Exchange closed down 1.2 percent at 51,560 yuan ($8,177.64) a tonne and has lost 2.6 percent this week, the biggest weekly drop since September.
Deliverable ShFE copper warehouse stocks grew by 13,537 tonnes from last week to 186,132 tonnes on Friday, according to ShFE data. On-warrant copper stocks also rose, by 17,911 tonnes to 70,077 tonnes. In a note on Friday, ANZ said it expected the metal's recent weakness to be relatively short-lived, however.
"Risks of further supply disruptions remain high (and) the restriction on copper scrap imports into China is likely to support refined metal imports," it said. China is the world's biggest copper consumer US aluminium foil producers on Thursday described a systematic effort by Chinese competitors to force them out of the business, arguing before a US trade panel that they need anti-dumping duties to survive and invest.
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