SHANGHAI, Jun. 3 (SMM) – SHFE 1508 copper contract prices gapped lower at RMB 43,550/mt Monday night, and rose to RMB 43,820/mt after shorts closed positions. The prices then moved lower to RMB 43,500/mt and closed at RMB 43,570/mt, down RMB 240/mt.
The August-delivery SHFE copper dipped to a low of RMB 43,400/mt during daytime trading Tuesday and then gained some losses to end at RMB 43,690/mt, posting a RMB 120/mt loss. SHFE 1508 copper contract positions increased 980 and trading volumes dropped 34,178 lots. The August delivery copper contract came under great pressure from the 60-day moving average.
Spot copper was offered at premiums of RMB 40-90/mt to SHFE 1506 copper contract in Shanghai Tuesday morning. Traded prices were RMB 43,680-43,760/mt for standard-quality copper and RMB 43,700-43,800/mt for high-quality copper.
Goods holders continued to push up spot premiums, but trading remained modest. Traders intended to buy at lower prices, while downstream buyers went bargain-hunting and favored hydro-copper. Prices of high-quality copper met resistance to increase due to sufficient supply. Transactions were fewer in the afternoon.
