SHFE/LME price ratio continues to recover, suppliers hold prices firm with strong confidence [SMM Yangshan spot copper]

On October 16, the average warrant price rose by $1/mt from the previous trading day to $137/mt (price range: $124-150/mt); the average B/L price rose by $1/mt from the previous trading day to 130 yuan/mt (price range: 122-138 yuan/mt); the average EQ copper (CIF B/L) price was flat from the previous trading day at $64/mt (price range: $60-68/mt), with quotations referencing cargoes arriving from October to early November.

The SHFE/LME price ratio continued to recover today. Downstream demand was moderate during the week, and expectations of tight available supply, along with persistently high domestic trade premiums, continued to give suppliers confidence to hold prices firm. It was heard that registered ER copper B/Ls were quoted at around $130-145/mt today, a small number of registered ER copper warrants were quoted at around $150-160/mt, and mainstream quotations for EQ copper arriving from late October to early November were at around $70-80/mt.