Higher Copper Prices and Weak End-Use Consumption Near Month-End Drove Spot Premiums Lower [SMM South China Spot Copper]

Published: Aug 28, 2026 11:38

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SMM News on August 28:

Today, Guangdong spot #1 copper cathode prices against the front-month contract: high-quality copper was quoted at a premium of 250 yuan/mt, down 10 yuan/mt from the previous trading day; standard-quality copper was quoted at a premium of 120 yuan/mt, down 50 yuan/mt from the previous trading day; SX-EW copper was quoted at a premium of 60 yuan/mt, down 50 yuan/mt from the previous trading day. The average price of Guangdong #1 copper cathode was 109,225 yuan/mt, up 145 yuan/mt from the previous trading day, and the average price of SX-EW copper was 109,100 yuan/mt, up 125 yuan/mt from the previous trading day.

Spot market: Guangdong inventory had declined for nine consecutive days, mainly due to reduced arrivals. Although inventory continued to fall, as month-end approached, some suppliers had cash-out needs and proactively lowered prices to sell shipments. Downstream users were also not very willing to restock in the face of high premiums, leading to a marked decline in premiums today. Today, procurement sentiment for copper cathode in Guangdong was 2.69, down 0.09 from the previous trading day, while shipment sentiment was 2.95, up 0.06 from the previous trading day (historical data can be queried by logging into the database).

Overall, higher copper prices and weak end-use consumption ahead of month-end drove spot premiums lower.

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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