On Monday night, the new U.S. Fed Chairperson, Beckham, came out and said that even if the economy slows, it will not tolerate the continued spread of inflation. The market’s interpretation of Beckan’s speech is that the Fed will raise interest rates again at the end of June! Some of the U.S. economic data released some time ago can be said to be mixed, although some data indicate that the economy is still strong, but some other Russian data have already shown signs of slowing down in the economy, first of all real estate data. Bad, followed by consumer confidence in the future?
The stocks of the London Metal Exchange fell by more than 1,000 tons on Monday, and Mexico’s workers who were supposed to go on strike for four days now go on strike for a long time. Despite this, London’s copper failed to hold on to the gains after 8,000, and later still After falling down and closing at 7850, London aluminum prices fell below 2600 again and closed at 2572 U.S. dollars per ton. Yesterday, Shanghai Copper was a daily limit, but today it once again fell below the $70,000 mark, and the July copper report closed at around RMB69,600/ton.
Mexican workers are a bit strange. Workers in other places are basically in a compromise with the capitalists. Mexican workers have made things bigger and bigger. Cats today read related reports in their offices. According to official information, Mexican workers’ demands are not to increase wages, but to restore the position of a former trade union leader’s union leader. Officials say that the leader is A corrupt criminal, embezzled funds of 55 million trade unions, has now fled to Canada and has been declared internationally wanted by the Mexican police.
Reports now indicate that the construction of roadblocks by strike workers in Mexico has caused workers who do not want to strike to work. The cat always believes that the so-called former trade union leader is not a union leader and basically can be said to be a work thief. With so much money embezzled and absconding, our simple Mexican workers should no longer sacrifice for him. Yang always thinks that cats are always too childish. Now the workers who strike are all taking the kid’s money. These strike workers can basically be said to be workers. President Yang believes that Mexico’s strikes are estimated to be accompanied by police intervention and will gradually end, because the strike cannot get the support of workers who have not received the money, and the majority of workers are going to eat at last.
In any case, the strikes now seem to have little support for copper prices. Market hotspots have already shifted to US interest rates and the economy. Of course, the suppression of demand from high-priced copper has also been demonstrated. The international trade association consisting of copper processing companies, the International Wrought Copper Council (IWCC), said that the London Metal Exchange (LME) should return to the basics of basic metal industry users and ensure that prices are real, not just speculation. As a result of the bubble, the China Electrical and Electronics Industry Association's wire and cable branch responded to calls from relevant departments in Beijing. Copper prices have skyrocketed and companies are suffering. In view of this phenomenon, an industry resolution will be formed next week. The proposed topic will be reported to the Federation of Machinery Industry and the National Development and Reform Commission, and the relevant government departments are strongly urged to suppress the rise in copper prices.
It is said that due to the mad increase in copper prices, wire and cable manufacturers have already incurred a certain amount of money and will lose a lot. Some companies have thus lost a large amount of money and have simply stopped work. At present, some enterprises in Beijing, Zhejiang, Jiangsu and other places have allowed employees to take vacations. The electrical appliance industry is a large copper company, which uses almost 60% of the country's copper each year. At present, hardware companies and building materials companies that use copper, aluminum and steel as their main raw materials have been greatly affected.
In the cable industry, 70% of the price of cable products is the price of copper. “Now it is not about how much profit it is, but whether it can save costs.†said Qi Yijie, general manager of China's Xingle Group, which is one of the leading cable manufacturers. According to reports, the Xingle Group will consume 1,500 tons of copper every month. In the past three years, the price of copper has increased by 4 to 5 times, but the price of the product has only been raised by 70%. In general, the period for completing an order is between three and five months to one year. "We have received an order and have two points of profit. However, after the delivery, it is difficult to maintain the cost."
Of course, the cable industry is also looking for ways. Copper prices are high, so aluminum-based copper has become a general trend. Due to the recent rapid rise in the price of copper, people have to seriously consider such a question after how to run through the nervous call sign: How to overcome difficulties? Many companies plan to use alternatives to ease. Some companies are actively taking measures, such as the use of black bars instead of light bar; copper-clad aluminum conductor; aluminum substitute copper, such as aluminum enameled wire and so on. If aluminum wire is used, prices can drop by two-thirds.
However, there is still a long way to go to achieve good application results. This is because some users cannot accept the change of aluminum-based copper.
One view is that the resistivity of aluminum conductors is greater than that of copper conductors, and aluminum metal materials are used as conductors of power cables. The energy loss during transmission should be greater than that of copper materials. In fact, this view has no theoretical basis. Because the energy loss during transmission depends on the conductor resistance rather than the resistivity. According to national recommendations, at 20°C, the DC resistance of a copper conductor cross-section is comparable to the corresponding DC resistance of two large-size aluminum conductors. That is to say, a certain copper conductor is considered in terms of energy loss during transmission. Power cables can be completely replaced by aluminum conductor cables corresponding to two large specifications, and their current carrying capacity is equivalent. In addition, from the perspective of cable cost, under the same current-carrying capacity, the raw material cost of the metal conductor of the aluminum conductor cable is much lower than that of the copper conductor cable, which is about a quarter of that.
The industry believes that in the case of such a high price of copper, whether it is a cable user or a design unit, it is entirely feasible to select the aluminum core cable under the condition of ensuring the same ampacity. This will not only allow cable manufacturers to avoid risks, but also It will benefit the healthy development of the industry and will also play a role in restraining the rise of copper prices. There are cases in which it is estimated that the copper core cable designed by a project design institute for a certain project will cost more than 2 million yuan. After the owner of the project changed the copper core cable into an aluminum core cable, it only spent more than 500,000 yuan. Just solve the problem.
It is understood that in 2004 the amount of copper used for power cable products was about 860,000 tons. In 2005, the amount of copper used for power cable products was about 1 million tons. According to relevant data, in 2005, 150,000 tons of aluminum conductor material was used as a substitute for copper conductor material. In other words, if 30% of aluminum metal material is used for power cable products, then the amount of copper used in power cable products will be reduced by 300,000 tons in 2005. Imagine if the copper market reduced the demand for 300,000 tons last year, the price of copper will change.
Industry insiders believe that the use of copper clad aluminum wire in the wire and cable industry is also a good way to ease the pressure on the current business. The aluminum wire has a double metal wire drawn from a layer of copper and has a small specific gravity and good transmission properties. It is particularly suitable for use as an inner conductor of RF coaxial cables. Compared with pure copper wire, the density is About 40% of pure copper. The transmission characteristics are better than pure copper wire, and it is an ideal RF coaxial cable branch line inner conductor. Assume that China's wire and cable industry has realized the replacement of aluminum with copper, which can save a large amount of limited copper resources.
Well, although there is still some way to go in replacing copper with aluminum, it is clear that aluminum substitutes for copper are good for all parties and is beneficial in the long term. Aluminum prices are always lower than copper prices. This is an obvious fact. Aluminum resources It is also much more than copper resources, so this time the skyrocketing price of copper has finally led to a new revolution. In the future, our cable plant may contain aluminum instead of copper. So now we have to develop aluminum customers. We may have to start talking to the cable factory. If we go to the cable factory to talk about aluminum, it is obviously out of place, but now it may become very much.
Of course we will also talk about soybeans later. Most of the United States did not continue to rise last night. It is said that the weather forecast also says that the weather in the Midwest of the United States will not be too hot. Today is June 6th, 2006, so some good people began to send text messages everywhere, I wish you all "six or six Dashun." In fact, we must note that today is a kind of man-made species in China's solar terms. There is a call to cats from Heilongjiang’s Guandou Mai. It is said that the Heilongjiang arid region will be raining on these two days. Although the time is a bit late, but if you come now, Rain, it will not be an absolute harvest. The so-called ungulate species, that is, the timing of planting, if you miss it again, even if you are busy planting, the estimate is useless. Of course, China's solar terms are for the middle and small reaches of the Yangtze River. For Heilongjiang Heihe, where Heilongjiang is located, it is a bit late to replant or replant soybeans. Even if it is planted this year, then the threat of early morning frosts will fall. More than in previous years.
CBOT soybeans did not break 620 cents before, we can only think that soybeans are still fluctuating in the low position. For the current market, cats still think that it is an early end of the short-term single, looking for low to build long positions in summer, of course, positions should not be too large, after all, rose The market has not yet come out.