Copper prices experienced significant fluctuations, and market sentiment remained conservative. The premium in the morning market was under pressure and declined. [SMM Shanghai Spot Copper]

Published: Mar 26, 2025 13:34

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【SMM Spot Copper】During the day, mainstream standard-quality copper was quoted at a discount of 40-20 yuan/mt against the front-month contract, while high-quality copper was quoted at a discount of 20 yuan/mt to parity. Copper prices fluctuated significantly during the day, and the trading volume was noticeably affected. Suppliers showed low sentiment for short-term inventory building, and the destocking momentum was also weak. The premiums are expected to continue to decline tomorrow.

SMM March 26 News: Today, spot prices of #1 copper cathode against the SHFE copper 2504 contract were quoted at a discount of 40 yuan/mt to parity, with an average discount of 20 yuan/mt, down by 5 yuan/mt from the previous trading day. The trading price of standard-quality copper ranged from 82,360 to 82,930 yuan/mt, while high-quality copper traded between 82,390 and 82,950 yuan/mt. The SHFE copper 2504 contract broke through 83,000 yuan/mt in the morning session, tested 83,270 yuan/mt, and then sharply reversed, retreating to 81,860 yuan/mt by the end of the session. The price spread between the SHFE copper 2504 and 2505 contracts fluctuated between a discount of 40 and 80 yuan/mt. In the morning session, copper prices surged significantly, causing large fluctuations in suppliers' hedging positions and putting pressure on their willingness to sell, resulting in a generally subdued trading atmosphere. At the beginning of the session, suppliers quoted standard-quality copper at a discount of 30 to 20 yuan/mt, while high-quality copper was quoted at a discount of 10 to a premium of 10 yuan/mt. Only a few traders sold to cash out, and downstream buyers showed weak pricing intentions, with only a small amount of just-in-time procurement. During the main trading period, standard-quality copper traded at a discount of 40 to 20 yuan/mt, and high-quality copper traded at a discount of 10 to a premium of 10 yuan/mt. SX-EW copper traded at a discount of 80 yuan/mt. Before 11:00 AM, some downstream buyers countered with offers around a discount of 50 yuan/mt, resulting in a small amount of transactions. Throughout the day, copper prices experienced significant fluctuations, leading to a noticeable weakening in market trading volume. Suppliers showed low sentiment for short-term positioning, and destocking momentum was also insufficient. The premium is expected to continue to decline tomorrow.

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