Low-priced supply concentrated in transactions, with SHFE copper spot premiums continuing to be suppressed [SMM Shanghai spot copper]

Published: Jun 4, 2025 12:42

Save

[SMM spot copper] Looking ahead to tomorrow, import supplies will remain. Currently, with the guidance of the narrowing price spread between futures contracts, it is expected that there will still be downside room for the premium tomorrow. Attention should be paid to whether it will break through the parity price.

SMM News on June 4:

Today, spot prices of SMM #1 copper cathode against the current-month 2506 contract were reported at a premium of 40-220 yuan/mt, with an average quoted premium of 130 yuan/mt, down 90 yuan/mt from the previous trading day. The SMM #1 copper cathode price range was 78,350-78,620 yuan/mt. In the morning session, SHFE copper prices fluctuated mainly around 78,380 yuan/mt, touching 78,400 yuan/mt multiple times. After briefly surging to 78,480 yuan/mt in the morning, prices pulled back. The price spread between futures contracts for the next month narrowed from BACK 200 yuan/mt to 150 yuan/mt during the day. The import loss for current-month SHFE copper exceeded 1,300 yuan/mt. Close attention should be paid to the export trends of smelters.

During the day, the price spread between brands continued to widen. High-quality copper, such as Jinchuan and Guixi, was in extremely tight supply, with premiums of 200-250 yuan/mt in the morning session. Prices of Xiangguang, Lufang, JCC, and Polish large plates remained high due to trade circulation demand, with premiums of 180-200 yuan/mt and scarce supply. Imported Jinguan, Jinfeng, as well as domestic brands such as Tiefeng, Zhongjin, Yuguang, Zhongtiaoshan PC, and Dajiang PC, were initially quoted at premiums of 70-100 yuan/mt. Subsequently, as market transactions weakened, the transaction center continued to decline, with transactions concluded at premiums of 30-50 yuan/mt.

Looking ahead to tomorrow, with the continued availability of imported supply and the current guidance of narrowing price spreads between futures contracts, premiums are expected to still have downside room tomorrow. Attention should be paid to whether the parity price will be broken.

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 to learn 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

16 hours ago

INE to Expand Tradable Options for Qualified Foreign Investors, Adding TSR 20 Rubber and Copper Contracts

According to an announcement by the Shanghai International Energy Exchange, with the approval of the China Securities Regulatory Commission, effective April 22, 2026 (from the night continuous trading session on April 21), the Shanghai International Energy Exchange (hereinafter referred to as INE) will further expand the range of tradable products available to Qualified Foreign Institutional Investors and RMB Qualified Foreign Institutional Investors (collectively, Qualified Foreign Investors), with the newly added commodity options contracts open for trading as follows: TSR 20 rubber and international copper options contracts.

16 hours ago

17 hours ago

Copper Inventories in Major Regions of China Continued Destocking During the Week [SMM Weekly Data]

17 hours ago

SMM Copper Wire and Cable Operating Rate Rises Slightly to 70.77%, Market Performance Mediocre

[SMM Copper Wire and Cable Operating Rate] The operating rate of SMM copper wire and cable enterprises was 70.77% this week, up 0.24 percentage points MoM. Overall operating performance was stable, while market performance was relatively mediocre. During the week, the pullback in copper prices suppressed the release of new orders, but enterprises had ample orders on hand and pending delivery, supporting basically stable production. New orders across downstream segments were generally weak, with demand in the home decoration sector particularly mediocre due to rising plastic raw material prices.

17 hours ago