China Increased Commodity Purchases in September

China went on an unexpectedly big buying spree for crude oil, coal and iron ore last month, customs data showed on Thursday, even as Beijing cools its overheated property market and concerns linger about the health of the world’s No. 2 economy.

Daily crude imports hit an all-time high as the nation again overtook the United States as the world’s top oil consumer, while iron ore imports were the second highest on record, propelling Shanghai rebar steel futures to five-week highs.

Coal and soybean purchases were just below August’s total, but were better than analysts had expected.

Copper bucked the trend, with imports falling by more than a quarter to their lowest in over a year, the latest sign of waning appetite as local supplies remained plentiful.

The commodities data contrasted with overall statistics which showed imports unexpectedly shrank, stirring concerns that the steadying of the economy may be short-lived.

via Reuters

Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza