China Bulk Commodity Index rose for 2nd straight month in Jun, commodity supply and demand both improved – industry association
COMMODITIES DATA VIEWS & ANALYSIS
China Bulk Commodity Index rose for 2nd straight month in Jun, commodity supply and demand both improved – industry association
COMMODITIES DATA VIEWS & ANALYSIS

China Bulk Commodity Index rose for 2nd straight month in Jun, commodity supply and demand both improved – industry association

 

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The China Bulk Commodity Index rose to 102.8% in June, rising by 2.1 percentage points from the prior month and growing for the 2nd straight month, according to the China Federation of Logistics and Purchasing (CFLP).

The sub-index for commodity supply hit 107%, rising by 1.8 ppt from May, indicating further rises in commodity supply amid economic recovery, improvement in demand and production profits, it said.

The sub-index for coal supply hit the highest since August 2020, and steel supply resumed growth after two months’ falls. Steel supply rose by 3.2% in June from May, iron ore 4.8%, coal 6.2%, non-ferrous metal 3.3%, chemicals 2.9% and autos 3.5%, all accelerating from May, showed the data. Supply of refined oil products grew by 2.8% in June, slowing by 1.6 percentage points.

The sub-index for commodity sales rose by 3.8 ppt to 103.7 in June, indicating recovery of demand from downstream industries as the economy shows stabilizing signs after two-month slowdown and progress in infrastructure, it said.

Sales of steel, iron ore and coal resumed growth in June, up 4.3%, 3.9% and 2.4%, respectively, from the previous month. Sales of non-ferrous metals, chemicals and autos grew at a faster pace, up 4.1%, 3.5% and 6.1%, while sales of refined oil products grew at a slower pace, up 0.9%. 

The sub-index for commodity inventory stood at 99% in June, marking the lowest since June 2021, indicating improving commodity demand and supply, it said.