SHANGHAI, May 29 (SMM) –SHFE 1508 copper contract prices opened lower for the night session at RMB 44,080/mt and rose to RMB 44,360/mt. Some shorts entered the market when prices increased, causing prices to retreat to RMB 44,000/mt. The prices finally ended the night session at RMB 44,120/mt, down RMB 70/mt.
The August-delivery SHFE copper moved in a narrow range early Thursday and tested a low of RMB 44,000/mt following a 6.4% plunge in Chinese shares. The prices then followed LME copper up in the afternoon and ended the daytime trading at RMB 44,250/mt. SHFE 1508 copper positions grew 4,340, with trading volumes up 45,554 lots. Total SHFE copper positions fell by 14,402.
Spot copper was quoted at premiums of RMB 0-70/mt to SHFE 1506 copper contract in Shanghai Thursday morning, with trading enlivened. Standard-quality copper traded at RMB 44,280-44,320/mt, and high-quality copper sold for RMB 44,300-44,380/mt. Spot premiums narrowed slightly in the afternoon to RMB 0-50/mt.
Cargo holders offered relatively high prices Thursday and some speculators sourced goods in the market, expanding spot premiums. Hydro-copper and standard-quality copper were favored by buyers. However, tight cash by the end of the month curbed increase in trading activities.