Argentina Passed Glacier Mining Reform Bill; Overnight LME Copper Slightly Declined While SHFE Copper Closed Higher [SMM Copper Morning Meeting Minutes]

2026.4.10 Friday
Futures: Overnight, LME copper opened at $12,579.5/mt, dipping to a low of $12,536.5/mt early in the session. Copper prices then shifted upward to a high of $12,712/mt, ultimately closing at $12,695.5/mt, down 0.27%, with trading volume at 18,000 lots and open interest at 297,000 lots, up 3,404 lots from the previous trading day, mainly driven by bears adding positions. Overnight, the most-traded SHFE copper 2605 contract opened at 98,080 yuan/mt, touching a high of 97,820 yuan/mt early in the session and dipping to a low of 97,720 yuan/mt. Copper prices then shifted upward to a high of 98,260 yuan/mt, ultimately closing at 98,070 yuan/mt, up 0.27%, with trading volume at 22,000 lots and open interest at 174,000 lots, down 1,255 lots from the previous trading day, mainly driven by bears reducing positions.
[SMM Copper Morning Meeting Summary] News:
(1) On April 9 (Thursday), Argentine lawmakers passed a government-backed reform bill aimed at promoting mining investment in glacier regions. Environmentalists and scientists said the move would weaken related protections and threaten water security. The lower house passed the reform bill with 137 votes in favor, 111 against, and 3 abstentions. The bill took effect immediately upon publication in the official gazette. The reform, promoted by the libertarian government of Javier Milei, sparked controversy for allowing provinces to set their own protection standards for glaciers and periglacial areas. Critics said the shift could weaken protections for high-altitude glacier formations that serve as vital freshwater reserves. Argentina's Minister of Economy Luis Caputo said on social media platform X that the measure is expected to generate $165 billion in export revenue and create thousands of jobs by 2035. "Some provinces will see permanent changes."
Spot:
(1) Shanghai: On the morning of April 9, the SHFE copper 2604 contract showed a trend of opening lower, stabilizing, rebounding, and then moving sideways. The opening price was 97,930 yuan/mt. After opening, prices weakened and dipped to a low of 97,330 yuan/mt, then stabilized and rebounded to 97,590 yuan/mt, before fluctuating between 97,510 yuan/mt and 97,730 yuan/mt, with a closing price of 97,610 yuan/mt. The inter-month Contango price spread between futures contracts ranged from 120 yuan/mt to 30 yuan/mt. The SHFE copper near-month import profit margin ranged from a profit of 80 yuan/mt to a profit of 190 yuan/mt. Looking ahead, the Shanghai spot copper market is expected to maintain a relatively strong tone. By region, available spot cargo in Jiangsu remained tight, with some downstream enterprises facing difficulties in procurement, providing strong support for spot premiums. Market structure side, the inter-month Contango price spread between futures contracts widened further, and suppliers showed stronger willingness to hold positions for delivery under the contango structure, with low willingness to sell at lower prices and strong sentiment to hold prices firm. Demand side, although downstream procurement turned cautious after copper prices pulled back, rigid restocking demand persisted. Overall, supported by tight regional supply and the price spread structure, Shanghai spot copper prices against the 2604 contract are expected to maintain current levels today.
(2) Guangdong: On April 9, Guangdong #1 copper cathode spot prices against the front-month contract: high-quality copper was quoted at 190 yuan/mt, up 10 yuan/mt from the previous trading day; standard-quality copper was quoted at a premium of 120 yuan/mt, up 20 yuan/mt from the previous day; SX-EW copper was quoted at a premium of 60 yuan/mt, up 20 yuan/mt from the previous day. The average price of Guangdong #1 copper cathode was 97,620 yuan/mt, down 155 yuan/mt from the previous trading day; the average price of SX-EW copper was 97,525 yuan/mt, down 150 yuan/mt from the previous trading day. Overall, both inventories and copper prices declined, and spot trades were better than the previous day.
(3) Imported copper: On April 9, the average warrant price rose $5/mt from the previous trading day to $70/mt (price range: $64-76/mt); the average B/L price rose $4/mt from the previous trading day to $65/mt (price range: $60-70/mt); the average EQ copper (CIF B/L) price rose $4/mt from the previous trading day to $37/mt (price range: $30-44/mt), with quotes referencing cargoes arriving from mid-April to early May.
(4) Secondary copper: On April 9, the 11:30 futures closing price was 97,730 yuan/mt, up 110 yuan/mt from the previous trading day. The average spot premiums were 20 yuan/mt, up 25 yuan/mt from the previous trading day. On April 9, copper scrap prices rose 200 yuan/mt MoM. The copper scrap sales sentiment index fell to 2.5, while the procurement sentiment index rose to 2.38. The price difference between copper cathode and copper scrap was 139 yuan/mt, down 32 yuan/mt MoM. The price difference between copper cathode rod and secondary copper rod was 1,350 yuan/mt. According to an SMM survey, copper prices pulled back slightly, and many copper scrap suppliers, concerned that the ongoing overseas conflicts would push copper prices further down, actively made shipments during the day.
Prices: On the macro front, Israel sought peace talks with Lebanon, reigniting hopes for a ceasefire agreement. Although the back-and-forth shifts in attitudes between the US and Iran intensified market uncertainty, market sentiment leaned optimistic, and copper prices held up well. Fundamentals side, on the supply side, imported copper continued to arrive at ports while domestic supply decreased, leading to overall supply tightening; on the demand side, downstream enterprises mainly made just-in-time procurement, restocking based on production pace. Inventory side, as of Thursday, April 9, SMM copper inventories across major regions nationwide fell 13.06% WoW from the previous Thursday, marking four consecutive weeks of destocking. Overall, spot copper prices were expected to hold up well today.
[The information provided is for reference only. This article does not constitute direct advice for investment research decisions. Clients should make prudent decisions and not replace independent judgment with this information. Any decisions made by clients are not related to SMM.]