SHANGHAI, Nov 28 (SMM) – The Shanghai spot copper market saw subdued trades on the morning of November 28 as downstream consumers were not in a hurry to purchase at the end of a month and elevated futures prices also weighed on demand.
At noon of Thursday, sluggish trades drove cargo holders to cut premiums to 70-80 yuan/mt, against the SHFE December contract, for standard-quality copper, and to 90 yuan/mt for high-grade copper, compared to premiums as high as 100 yuan/mt in early trades this morning.
Premiums of hydro-copper fell to 20 yuan/mt at noon.
SMM expects the downside room in spot premiums to be capped as inventories of spot materials remained at low.
On November 28, the SHFE December contract hovered above 47,250 yuan/mt and ended the morning trading session 0.19% higher at 47,290 yuan/mt.
At noon on November 28, high-grade copper traded at 47,340-47,370 yuan/mt and standard-quality copper traded at 47,320-47,350 yuan/mt.