Month-End Market Trading Was Sluggish, but Spot Premiums Remained Firm [SMM South China Spot Copper]

SMM News, March 31:

Today, in Guangdong, spot premiums for #1 copper cathode against the front-month contract were reported at 140 yuan/mt for high-quality copper, up 10 yuan/mt from the previous trading day; 50 yuan/mt for standard-quality copper, up 10 yuan/mt from yesterday; and a discount of 10 yuan/mt for SX-EW copper, up 10 yuan/mt from yesterday. The average price of #1 copper cathode in Guangdong was 95,780 yuan/mt, up 555 yuan/mt from the previous trading day, while the average price of SX-EW copper was 95,675 yuan/mt, also up 555 yuan/mt from the previous trading day.

Spot market: Today, Guangdong inventory continued its downward trend and has now declined for 11 consecutive working days. As a result, suppliers remained firmly bullish and continued to hold prices firm for shipments, but restocking interest from traders and end-user enterprises was weak at month-end, and market trading was expected to recover tomorrow. Today, procurement sentiment for copper cathode in Guangdong was 2.38, down 0.13 from the previous trading day, while shipment sentiment was 3.43, down 0.2 from the previous trading day (historical data is available in the database).

Overall, market trading was sluggish at month-end, but spot premiums remained firm.