Import Profits of Spots Increased the Demand for Warrants, and Yangshan Copper Premiums Rose

SHANGHAI, Jun 20 (SMM) - Yangshan copper premiums were quoted at $66-82/mt under warrants today. The average price was $74/mt, $5/mt higher than the previous trading day, with the quotation period of July. Quotes under B/L stood at $63-78/mt. The average price was $70.5/mt, $3/mt higher than the previous trading day, with the quotation period of July. The quotation refers to the prices of goods arriving at ports in the first half of July. The premiums of LME 0-3 were $5.5/mt. The import losses were around 50 yuan/mt over the 2207 copper contract as of 10 a. m. today.

Import profits of spots were favourable today owing to the narrow import losses over the near-month contracts and the high spot premiums of around 300 yuan/mt in China. Quotes of mainstream pyro-copper mainly moved between $80-85/mt in the early trading. Two brands of copper were quoted at $90/mt, attracting some inquiries, and spread of affordable price between the buyer and seller was $5-10/mt. On the bill of lading front, quotes increased along with the rising trading enthusiasm. However, the buyers did not prefer the bill of lading because of the non-immediate arrivals at ports and the worry that the domestic premiums would drop.

The premiums of high-quality pyro-copper were around $82/mt under warrants, and mainstream pyro-copper and hydro-copper were quoted at $76/mt and $66/mt respectively. The high-quality copper under the bill of lading was quoted at $78/mt, and that of mainstream pyro-copper and hydro-copper were $72/mt and $63/mt respectively.