Contract Rollover Disrupts Persistently Weak Demand; Holding Prices Firm and Holding Back from Selling Strengthens Spot Price Spread [SMM North China Copper Cathode Spot Weekly Review]

Published: Jul 17, 2026 09:14

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In North China, as of Thursday this week, premiums were 100-140 yuan/mt, with an average discount of 120 yuan/mt, up 100 yuan/mt from last Friday. Futures swung wildly this week, compounded by contract rollover and wide price spreads between contracts, leading to strong risk-aversion and wait-and-see sentiment among downstream users. Inquiries remained subdued, with only sporadic just-in-time procurement in the market. Suppliers' overall willingness to sell was weak, and their sentiment to hold prices firm and hold back from selling remained strong, pushing spot premiums significantly higher this week. Overall, trading was sluggish this week and activity was weak. Looking ahead, end-use demand is unlikely to improve significantly in the short term. Downstream wait-and-see sentiment will be hard to dissipate and the just-in-time procurement pattern will persist, keeping market trading activity weak.

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