SHANGHAI, Sept. 30 (SMM) –Market pessimism spread on Tuesday. Chinese stock market slumped after a low opening. SHE 1512 copper lost support at the daily moving average and took a freefall to RMB 37,550/mt. Finally, the most active contract ended down RMB 960/mt or 2.49% at RMB 37,640/mt. Positions were up 24,398, and trading volumes were up 140,000 lots. Worries over Chinese economy, slump in Glencore’s shares and US Fed’s hawkish stance all combined to drive copper prices down.
Spot copper in Shanghai was largely offered at discounts of RMB 0-10/mt and premiums of RMB 0-40/mt over SHFE 1510 copper contract on Tuesday. Standard-quality copper traded at RMB 37,940-38,090/mt and RMB 37,960-38,120/mt for high-quality copper. Many market players have exited the market for holiday, leaving trading thin. Supply of hydro-copper remained tight. In the afternoon, trading was subdued. Spot copper was offered at discounts of RMB 0-20/mt and premiums of RMB 0-20/mt, with traded prices between RMB 37,900-38,080/mt.