SMM Price Outlook for Base Metals on SHFE (Jun. 29, 2017)

[SMM Shanghai Spot Copper] Looking ahead to tomorrow, as of the morning close, open interest in the SHFE copper 2609 contract stood at 29,240 lots. According to SMM, suppliers have not yet begun converting deliverable cargoes into warrants. Supply side, both imported cargoes and smelter arrivals are limited; demand side, with copper prices staying high, downstream enterprises are maintaining just-in-time procurement. Overall supply-demand remains weak, and premiums are expected to continue edging down slightly.