China’s Exceptionally Large Copper Stockpiles Raise Demand Concerns

China’s copper inventories are increasing precisely when they should be rapidly decreasing — a phenomenon that highlights concerns about demand in the world’s largest market.

Last week, stockpiles of copper in Shanghai Futures Exchange warehouses exceeded 300,000 tons. While this isn’t the highest volume ever recorded, it is the most for any end-of-May date on record. In China’s highly seasonal economy, inventories usually peak in March and decline as factories boost activity heading into the summer.