LME backwardation continues to widen, with weak supply and demand, and the market remains sluggish [SMM Yangshan spot copper]

        June 17, 2025 News: Today, warrant prices ranged from $30 to $48/mt, with a QP (quality premium) in June, and the average price remained unchanged from the previous trading day. B/L (bill of lading) prices ranged from $48 to $72/mt, with a QP in July, and the average price remained unchanged from the previous trading day. EQ copper (CIF B/L) prices ranged from $4 to $18/mt, with a QP in July, and the average price remained unchanged from the previous trading day. The quotes referenced cargoes arriving in late June and early July.

        Today, the US dollar copper market remained sluggish. Affected by the shortage of copper concentrates, JX Nippon Mining & Metals Corporation issued an official announcement stating that it is expected to implement a production cut plan, with the specific reduction volume yet to be determined. The LME copper backwardation structure in the deferred months continued to widen, and a normalized backwardation may become a trend in H2. Today, it was heard that domestic warrants were quoted around $40-50 with few transactions, with a QP in July. Domestic B/Ls for cargoes arriving in early July were quoted at $60, with a few transactions concluded at $45-55 with a QP in July. EQ for cargoes arriving in early July was quoted at $15-20, with a few transactions concluded at $5-10, with a QP in July. Overall, suppliers mostly chose to hold back cargoes, while downstream consumption willingness was also weak, resulting in a general weakness in both supply and demand in the market.