SHANGHAI, May 4 (SMM) – SHFE 1507 copper gapped higher on Monday at RMB 45,330/mt and moved up on increasing anticipation for further monetary easing in China. The red metal touched a high of RMB 45,800/mt and finally closed at RMB 45,710/mt, up RMB 1,640/mt. Positions in the most active copper contract dropped 8,994 and trading volumes fell by 49,174 lots. Despite the sharp rise, copper prices still lacked buying support to extend rebound.
Spot copper quoted at premiums of RMB 50-120/mt in Shanghai Monday morning. Standard-quality copper traded at RMB 45,720-45,820/mt, and high-quality copper sold for RMB 45,740-45,880/mt. Spot premiums were RMB 30-90/mt in the afternoon.
Spot premiums held relatively stable early on Monday and speculators increased supply later, narrowing spot premiums. Downstream producers only watched from sidelines.