Is Support for Copper Price Gains Sustainable? SMM Exclusive

Published: Oct 25, 2016 15:46

Save

SHFE copper prices unexpectedly rose October 25 after remaining weak for a long period, and price gains were the most significant since July 13 as of 1:55 pm October 25, SMM reports.

SHANGHAI, Oct. 25 (SMM) - SHFE copper prices unexpectedly rose October 25 after remaining weak for a long period, and price gains were the most significant since July 13 as of 1:55 pm October 25, SMM reports.

SMM Exclusive: What’s Factor Behind Big Rise in China Base Metal Market on Tuesday?

Spot goods available were limited. Imports were low due to yuan’s devaluation, despite higher SHFE/LME copper price ratio. Meanwhile, traders slowed supplies recently.

SHFE copper inventories are now almost the lowest for the year, and demand is stable.

Spot premiums jumped to a 1-year high, also lending support to copper prices.

Copper staged the least significant price gains this year, so will attract more capital, SMM said. SHFE copper will have room to rebound in the near term.

Most analysts see SHFE copper rise to 38,500 yuan per tonne, according to an SMM survey of domestic futures companies.

For news cooperation, please contact us by email: sallyzhang@smm.cn or service.en@smm.cn.

SHFE copper prices copper base metal price forecast

Data Source Statement: Except for publicly available information, all other data are processed by SMM based on publicly available information, market communication, and relying on SMM's internal database model. They are for reference only and do not constitute decision-making recommendations.

For any inquiries or for more information, please contact: lemonzhao@smm.cn

For more information on how to access our research reports, please contact:service.en@smm.cn

Related News

15 mins ago

Price spread between futures contracts once exceeded 800 yuan; downstream purchases were quiet, and spot premiums fell sharply [SMM South China spot copper]

15 mins ago

45 mins ago

Wider price spread between futures contracts drags down purchases; spot discounts in North China expand [SMM North China spot copper]

In North China today, spot #1 copper cathode against the front-month contract was quoted at a discount of 200-120 yuan/mt, with an average discount of 160 yuan/mt, down 70 yuan/mt from the previous trading day. The average transaction price was 108,745 yuan/mt, down 3,155 yuan/mt from the previous trading day.

45 mins ago

1 hour ago

【Flash | Peru’s June Molybdenum Output Rises 5.4% YoY, H1 Total Falls 4.5%】

Peru’s Ministry of Energy and Mines (MINEM) reported molybdenum production of 3,029 tonnes in June 2026, up 6.5% MoM and 5.4% YoY. H1 output totaled 18,777 tonnes, down 4.5% YoY. Sociedad Minera Cerro Verde produced 943 tonnes in June, up 76.1%, while Anglo American Quellaveco produced 479 tonnes, up 25.6%. Southern Peru Copper Corporation’s output declined 16.0% to 1,065 tonnes. Gains at Cerro Verde and Quellaveco supported the monthly rebound, although cumulative supply remained below last year.

1 hour ago