SHFE/LME price ratio weakens, Yangshan copper premiums lack upward momentum, spot premiums pull back [SMM Yangshan spot copper]

On October 12, the average warrant price fell $5/mt from the previous trading day to $130/mt (price range: $120-140/mt); the average B/L price fell $5/mt from the previous trading day to 125 yuan/mt (price range: 120-130 yuan/mt); the average EQ copper (CIF B/L) price fell $1/mt from the previous trading day to $61/mt (price range: $54-68/mt), with quotes referencing October-arrival cargoes.

The SHFE/LME price ratio weakened today, downstream demand showed mediocre performance, and combined with lower domestic spot premiums, imported copper spot premiums lacked upward momentum. Early-session actual transactions were sluggish, and under the current futures-spot structure, the market holds expectations for a pullback in premiums going forward. It was heard that registered ER copper B/L was quoted at around $130/mt today, registered ER copper warrants were quoted at around $140/mt, and EQ copper arriving in late October was quoted at around $70/mt.