Inventory decreases and premiums rise [SMM South China spot copper]

Published: Aug 21, 2026 13:50

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SMM August 21 news:

Today, spot prices for #1 copper cathode in Guangdong against the front-month contract were reported at a premium of 130 yuan/mt to 200 yuan/mt, with an average premium of 165 yuan/mt, up 20 yuan/mt from the previous trading day; SX-EW copper was reported at a premium of 50 yuan/mt to 70 yuan/mt, with an average premium of 60 yuan/mt, up 20 yuan/mt from the previous trading day. The average price of #1 copper cathode in Guangdong was 107,740 yuan/mt, up 365 yuan/mt from the previous trading day, and the average price of SX-EW copper was 107,495 yuan/mt, up 365 yuan/mt from the previous trading day.

Spot market: Copper prices bottomed out, and downstream enterprises' stockpiling sentiment continued to heat up, keeping inventory in destocking. Traders raised premiums, and downstream demand for pre-season stockpiling increased, making premiums unlikely to pull back in the short term. In the Guangdong region today, the purchase sentiment for copper cathode was 2.68, up 0.15 from the previous trading day, and the shipment sentiment was 3.02, down 0.07 from the previous trading day (historical data can be viewed by logging into the database). As of 11:00, the front-month contract saw high-quality copper reported at a premium of 200 yuan/mt, standard-quality copper reported at a premium of 130 yuan/mt, and SX-EW copper reported at a premium of 60 yuan/mt.

Overall, with downstream demand recovering and inventory at low levels, suppliers offered high premiums, and transaction volumes were boosted by increased stockpiling demand, resulting in overall moderate performance.

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.

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