Mid-to-Late Month B/L Offers Remain Firm, USD Copper Market Significantly Active at the Beginning of the Year [SMM Yangshan Spot Copper]

February 7, 2025 News: Today's warehouse warrant prices were $59-73/mt, QP February, with an average price down by $2/mt compared to the previous trading day; B/L prices were $51-65/mt, QP March, with the average price unchanged from the previous trading day; EQ copper (CIF B/L) was $3-17/mt, QP March, with the average price unchanged from the previous trading day, with quotations referencing port arrivals in mid-to-late February.

During the day, the SHFE/LME price ratio for the SHFE copper 2503 contract was around -230 yuan/mt, LME copper 3M-Feb was at C$105.14/mt, LME copper 3M-Mar was at C$62.74/mt, and the 2502-Feb to 2503-Mar spread was around C$42.5/mt. Due to the weak price ratio and the incomplete recovery of downstream demand recently, warehouse warrant transaction prices in early-to-mid February pulled back. However, it was noted that the market has been actively seeking B/L for mid-to-late February, and port arrivals are expected to be limited, keeping B/L prices firm.

Currently, the actual transaction price for pyro high-quality copper warehouse warrants is $73/mt, mainstream pyro $66/mt, and wet-process $59/mt; high-quality copper B/L is $65/mt, mainstream pyro around $58/mt, and wet-process $51/mt; CIF B/L EQ copper is $3-17/mt, with an average price of $10/mt.