Inventory and copper prices both rise, forcing suppliers to cut prices to sell [SMM South China spot copper]

SMM, July 14:

Today, Guangdong #1 copper cathode spot prices against the front-month contract: high-quality copper was quoted at a premium of 80 yuan/mt, flat from the previous trading day; standard-quality copper was quoted at a discount of 20 yuan/mt, down 10 yuan/mt from the previous trading day; and SX-EW copper was quoted at a discount of 80 yuan/mt, down 10 yuan/mt from the previous trading day. The average price of #1 copper cathode in Guangdong was 104,105 yuan/mt, up 785 yuan/mt from the previous trading day, and the average price of SX-EW copper was 104,010 yuan/mt, up 795 yuan/mt.

Spot market: Guangdong inventory fell for two consecutive days, mainly due to increased arrivals and weakened consumption. With both inventory and copper prices rising, downstream enterprises' purchase willingness was subdued, forcing suppliers to lower prices to sell. Today, spot premiums continued to decline, and overall trading was poor. Today, the purchasing sentiment for copper cathode in Guangdong was 2.41, only down 0.03 from the previous trading day, while the sales sentiment was 3.02, up 0.03 from the previous trading day (historical data can be accessed by logging into the database).

Overall, with both inventory and copper prices rising, suppliers had to lower prices to sell, leading to quiet overall trading.