SHANGHAI, Aug. 26 (SMM) – Spot copper discounts widened to RMB 0-70/mt against SHFE 1509 copper in Shanghai on Wednesday. Mainstream traded prices were RMB 39,150-39,300/mt for standard-quality copper and RMB 39,180 -39,350/mt for high-quality copper.
The People’s Bank of China (PBOC) announced to cut the reserve requirement ratio (RRR) and lower key interest rates, which, however, failed to improve market sentiment effectively. Consequently, the slid in Chinese A-share market persisted. And SHFE copper thus fell from high. Cargo holders were active in selling at highs.
In the latter half trading of the day, spot copper all turned into discounts, which seemed to further widen. Traders bought spot copper and sold copper futures. Few downstream buyers entered market. Wait-and-see loomed market and trades were left quiet.