SHANGHAI, Jun. 19 (SMM) – SHFE 1310 copper contract started RMB 120/mt lower at RMB 51,600/mt on Tuesday, dragged down by falling LME copper overnight. After its opening, the most active SHFE copper contract moved lower due to sell-off, with the high-end price at RMB 51,720/mt. SHFE copper for October delivery stayed below the daily moving average most of the afternoon session, with the low-end price at RMB 50,960/mt. Finally, SHFE 1310 copper contract closed down RMB 690/mt or 1.33% at RMB 51,030/mt, with trading volumes up 221,000 lots and positions up 45,218 lots. Total trading volumes increased 277,000 lots, and total positions grew 44,998 lots. The most active SHFE copper will be vulnerable at RMB 50,000/mt once support at RMB 51,000/mt is lost.
Spot copper in Shanghai was offered at a premium of RMB 120-240/mt over SHFE 1307 copper contract prices on Tuesday. Traded prices for standard-quality copper were between RMB 51,800-51,930/mt, and RMB 51,900-52,300/mt for high-quality copper. SHFE 1310 copper contract prices trended down after opening lower. Cargo holders held offers firm after SHFE 1307 copper contracts became the new current-month contract. Middlemen moved goods aggressively, but downstream producers largely held to a wait-and-see stance out of growing pessimism, keeping supply in surplus. Spot copper supplies were still ample in the afternoon, and premiums only inched up to RMB 130-250/mt, with transactions limited.