Spot copper premiums stabilise while trades remain quiet

Published: Mar 27, 2019 13:55
Downstream buyers only restocked as required, and purchases from traders weakened significantly

SHANGHAI, Mar 27 (SMM) – While trades of spot copper remained quiet, sellers held premiums steady in Shanghai on the morning of Wednesday March 27. Downstream buyers only restocked as required, and purchases from traders weakened significantly. 

This morning, offers stood mostly at a premium of 980-1,100 yuan/mt against the SHFE April contract, compared with a premium of 960-1,120 yuan/mt in the previous morning.

At noon of March 27, premiums of standard-quality copper were heard at 980-1,000 yuan/mt, while that of high-quality copper at 1,080-1,100 yuan/mt. This changed little from early trades. 

SMM does not expect the spot premiums for products with May's invoices to change significantly at the end of the month. 

Some small sellers offered cargoes with April invoices at a discount of 150 yuan/mt for standard-quality copper, and at a discount of 80-60 yuan/mt for high-quality copper. Hesitant downstream consumers kept trades thin. 

On the morning of March 27, the SHFE 1904 contract stabilised and ended it at 48,260 yuan/mt at the end of the morning trading session, up 120 yuan/mt from that time on March 26.

At noon on March 27, high-grade copper traded at 49,350-49,430 yuan/mt and standard-quality copper traded at 49,250-49,330 yuan/mt.

Data Source Statement: Except for publicly available information, all other data are processed by SMM based on publicly available information, market communication, and relying on SMM‘s internal database model. They are for reference only and do not constitute decision-making recommendations.

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