SHANGHAI, Dec 10 (SMM) – Weakening confidence across downstream buyers in copper prices lowered premiums of spot copper in Shanghai on the morning of Monday December 10. Spot copper premiums stood mostly at 110-450 yuan/mt over the SHFE December contract, compared with a premium of 140-420 yuan/mt last Friday.
While sellers initially retained offers at last week's levels, at a premium of 150 yuan/mt for standard quality copper, and a premium of 450 yuan/mt for high-quality one, thin transactions lowered premiums by 40-50 yuan/mt at noon. Offers of hydro-copper dipped to discounts of 10 yuan/mt before noon, from a premium of 10-20 yuan/mt in the early morning.
At noon, premium offers of 350-380 yuan/mt for high-quality products were heard in the market, amid a bearish outlook across downstream buyers as prices of copper futures lost support at 49,000 yuan/mt near noon.
This morning, the SHFE 1812 contract faced pressure at the daily moving average and settled at 48,960 yuan/mt at the end of the morning trading session, down 160 yuan/mt from that time last Friday.
At noon on December 10, high-grade copper traded at 49,470-49,540 yuan/mt and standard-quality copper traded at 49,170-49,240 yuan/mt.