SHANGHAI, Dec 5 (SMM) – Lower prices of futures and tight supplies pushed spot copper sellers to firm up offers in Shanghai on the morning of Wednesday December 5. Spot copper premiums stood mostly at 130-280 yuan/mt over the SHFE December contract this morning. This compared with a premium of 100-240 yuan/mt on Tuesday December 4.
Improved trades buoyed premiums of standard-quality copper, but the growth was slower than the rise in high-quality products during this morning. Supply tightness increased premiums of high-quality copper to 270-280 yuan/mt at noon, from around 230 yuan/mt in early morning. A premium up to 300 yuan/mt is expected in high-grade copper in the afternoon.
More active downstream purchases narrowed discounts of hydro-copper, to 60-20 yuan/mt at noon, from 120 yuan/mt a day before.
This morning, the SHFE 1812 contract climbed up gradually after slumped overnight. It settled at 49,300 yuan/mt at the end of the morning trading session, down 490 yuan/mt from that time on Tuesday.
At noon on December 5, high-grade copper traded at 49,460-49,640 yuan/mt and standard-quality copper traded at 49,360-49,520 yuan/mt.