SHANGHAI, Feb 25 (SMM) – Cash-in demand drove spot copper sellers to lower offers in Shanghai on the morning of Monday February 25, as delivery for long-term contracts was close to an end.
At noon, discounts were mostly heard at 200-90 yuan/mt over the SHFE 1903 contract. This came after sellers offered at levels from last Friday February 22, at a discount of 180-80 yuan/mt. Supply of spot materials did not increase this morning. This, coupled with high smelting costs, prevented sellers from expanding discounts much this morning.
At the end for morning trading session, discounts of high-grade copper stood mostly at 100 yuan/mt and standard-quality copper at 200 yuan/mt. On-demand purchases from downstream buyers kept discounts of hydro-copper at 350-320 yuan/mt.
On the morning of February 25, trade hopes between China and the US lifted the SHFE 1903 contract above 50,000 yuan/mt and ended it at 50,050 yuan/mt at the end of the morning trading session, up 520 yuan/mt from that time on February 22.
At noon on February 25, high-grade copper traded at 49,930-50,040 yuan/mt and standard-quality copper traded at 49,840-49,960 yuan/mt.