Today, the most-traded BC copper 2604 contract opened at 89,800 yuan/mt, fluctuated upward in early trading to a high of 90,420 yuan/mt, and then fluctuated rangebound. After the daytime session opened, the center of copper prices fluctuated downward, dipping to 89,610 yuan/mt near the close and finally settling at 89,640 yuan/mt, down 0.03. Open interest stood at 5,550 lots, down 279 lots from the previous trading day, while trading volume reached 2,609 lots, indicating long liquidation. From a macro perspective, Trump released signals of negotiations, but Iran stated that its new supreme leader would not negotiate with him. The market continued to weigh conflicting information on US-Iran tensions and waited for guidance from the US CPI data due in the evening. Fundamentally, supply side, domestic copper and imported cargoes were generally ample; demand side, affected by high copper prices, downstream procurement sentiment was somewhat restrained, and the pace of just-in-time demand release slowed down.
The SHFE copper 2604 contract closed at 101,150 yuan/mt. Based on the BC copper 2604 contract at 89,640 yuan/mt, its after-tax price was 101,293 yuan/mt. The price spread between the SHFE copper 2603 contract and BC copper was -356, and the inverted spread remained in place while narrowing from the previous day.
