Shanghai-bonded copper stocks gain 7,000 mt over holiday

[SMM Shanghai Spot Copper] Looking ahead to tomorrow, the intraday SHFE copper intermonth backwardation spread remains at a relatively high level of 570-600 yuan/mt. Coupled with persistently tight availability of cargoes in the Shanghai market, this provides strong support to spot premiums. According to SMM's market communication, mainstream quotations for standard-quality copper with next-month invoices are largely maintained at premiums of 550 yuan/mt or above, with suppliers showing limited willingness to sell at low prices and still-strong sentiment to hold prices firm. However, as spot premiums have climbed to high levels, downstream enterprises' acceptance of current quotations has weakened markedly. Some enterprises have chosen to postpone purchases and wait for premiums to pull back before restocking, while actual intraday transactions remain mainly driven by rigid demand. Meanwhile, as the market enters September, a new procurement cycle is about to start, and some downstream enterprises and traders have restocking demand, which may provide some support to the lower end of spot premiums. Overall, supported by elevated backwardation spreads and tight availability of cargoes, Shanghai spot copper quotes against the SHFE copper 2609 contract are expected to remain at high premiums tomorrow. However, the dampening effect of high premiums on downstream purchases is gradually strengthening, so room for further rapid rises in premiums may be limited and premiums are likely to consolidate at highs.

Chile, Argentina, Bolivia y Perú firmaron el 28 de agosto una declaración conjunta sobre minerales estratégicos, con el objetivo de fortalecer la cooperación regional en recursos minerales críticos, incluidos el litio y el cobre. Los cuatro países planean promover la cooperación en el desarrollo y la inversión minera y buscar apoyo técnico y financiero de instituciones multilaterales. La iniciativa también busca fomentar la colaboración entre los sectores público y privado en investigación, innovación y desarrollo de capacidades. Dado que los cuatro países concentran una parte significativa de los recursos mundiales de cobre y litio, la iniciativa busca reforzar la posición de Sudamérica en las cadenas mundiales de suministro de minerales para la transición energética y aumentar el atractivo de la región como proveedor a largo plazo de minerales críticos.