SHANGHAI, Jul. 2 (SMM) – In the Shanghai physical market, copper was offered Wednesday at a RMB 80-300/mt premium over the SHFE 1407 copper contract. Traded prices were RMB 51,200-51,550/mt for standard-quality copper and RMB 51,320-51,700/mt for high-quality copper.
SHFE copper prices surrendered early gains, while the improving SHFE/LME copper price ratio resulted in inflows of imported copper, both prompting cargo holders to ramp up deliveries at high prices. A variety of copper brands were found in the market in ample volumes, with a higher proportion of imported copper. A plunge in base metals prices by the midday dragged down copper prices, and most cargo holders cut physical premiums out of fears that prices will fall further. Meanwhile, middlemen and downstream producers held a wait-and-see attitude on Wednesday.