Inventory Surge, Suppliers Proactively Cut Prices to Sell; Overall Trading Better than Last Friday [SMM South China Spot Copper]

Published: Jun 22, 2026 11:34

Save

SMM June 22 News:

Today, spot #1 copper cathode in Guangdong against the front-month contract: high-quality copper was at a premium of 120 yuan/mt, down 80 yuan/mt from the previous trading day; standard-quality copper was at a premium of 50 yuan/mt, down 90 yuan/mt from the previous trading day; SX-EW copper was at a discount of 10 yuan/mt, down 90 yuan/mt from the previous trading day. The average price of #1 copper cathode in Guangdong was 104,675 yuan/mt, down 490 yuan/mt from the previous trading day, while the average price of SX-EW copper was 104,580 yuan/mt, down 425 yuan/mt.

Spot market: After the Dragon Boat Festival, Guangdong's inventory increased significantly, primarily due to weak downstream consumption during the holiday. Affected by the sharp inventory increase and some suppliers' urgent need to cash out, spot premiums fell sharply today. After both premiums and prices pulled back, processing enterprises actively restocked, and trading was noticeably better than last Thursday. Today, the purchasing sentiment for copper cathode in Guangdong was 2.54, up 0.35 from the previous trading day, and the shipment sentiment was 2.78, up 0.15 from the previous trading day (historical data can be accessed from the database).

Overall, with inventories surging, suppliers proactively cut prices to sell, while end-users actively replenished, leading to overall trading activity better than last Friday.

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.

For any inquiries or for more information, please contact: lemonzhao@smm.cn

For more information on how to access our research reports, please contact:service.en@smm.cn

Related News

44 mins ago

Smelter Deliveries and Import Inflows Exert Inventory Buildup Pressure on Shanghai Spot Copper

Looking ahead to tomorrow, today's Shanghai social inventory recorded 139,400 mt, up 7,400 mt WoW from last Thursday; Jiangsu's inventory recorded 44,400 mt, up 2,500 mt WoW, showing a slight inventory buildup trend. According to SMM, the buildup was mainly due to arrivals from some domestic smelters combined with inflows of imported cargo, increasing supply-side pressure somewhat. In terms of market performance, intraday trading was overall sluggish. Suppliers quoted premiums from parity to a premium of 30 yuan/mt in early trading, but transactions failed to follow up, leading to successive downward revisions of quotes. By the second session, actual transactions for standard-quality copper had fallen to around a discount of 50-30 yuan/mt. Some suppliers were offloading cargo, further dragging down the center of market premiums. Overall demand was weak, with downstream users only making just-in-time procurement, lacking the willingness to chase higher prices. Overall, under the combined pressure of inventory buildup and increased willingness to sell among suppliers, Shanghai spot copper prices against the SHFE copper 2607 contract are expected to remain at current levels tomorrow.

44 mins ago

46 mins ago

Smelter Arrivals Coupled with Import Inflows, Shanghai Spot Copper Inventory Buildup Pressure Emerges [SMM Shanghai Spot Copper]

[SMM Shanghai Spot Copper] Tomorrow is expected to see spot prices against the SHFE copper 2607 contract remain at current levels. Shanghai social inventory stood at 139,400 mt, up 7,400 mt WoW from the previous Thursday; Jiangsu inventory was 44,400 mt, up 2,500 mt WoW, indicating a mild inventory buildup. SMM attributes the buildup mainly to arrivals from some domestic smelters and inflows of imported cargo, adding pressure on the supply side. Spot market activity was sluggish throughout the day. Suppliers initially quoted premiums at parity to 30 yuan/mt but, with insufficient follow-through buying, subsequently cut offers several times. By the second session, standard-quality copper traded at discounts of 50–30 yuan/mt, with some suppliers liquidating cargo and further dragging the premium center lower. Overall demand was weak, as downstream users made only just-in-time procurement and showed limited willingness to chase higher prices. Given inventory pressure and a stronger willingness to sell among suppliers, spot prices are expected to hold at current levels.

46 mins ago

59 mins ago

Taihui Roll Manufacturing (Suzhou) Co., Ltd. supports SMM in creating 《2027 Global Copper Foil Industry Chain Distribution Map》

59 mins ago