Copper Notes

The copper market is continuing to endure tough times as worldwide production exceeds consumption. Spot copper prices have dropped below $0.70 this year and are now hovering around the mid-70 cent range. Comex and LME warehouse copper stocks have continued to accumulate and this explains why prices remain low and are expected to stay in this price range in the near future. Until consumption picks up, we do not expect to see any major changes in the price.

Currently, Chile is the largest producer of copper with a 35% market share followed by the USA with 7%. In October of last year, major producers committed themselves to production cutbacks in hopes of reducing surplus inventories and stopping the price slide. Analysts believe that we should see a rise in the price toward the end of 2002 if the economy improves and excess inventories are reduced.

As always, we are closely monitoring our copper inventories to ensure that we maintain the broadest range of cables at the lowest cost, allowing us to pass the savings on to you.

Please tell us your requirements so we can provide you with the best value on our complete and competitively priced wire and cable inventory.