BC copper rises 0.83%, SHFE copper price spread narrows [SMM BC Copper Commentary]

Today, the most-traded BC copper 2508 contract opened at 70,060 yuan/mt, closing the day with a positive candlestick, indicating an increase in long positions. During the night session, the most-traded BC copper contract initially fluctuated downward, reaching an intraday low of 69,880 yuan/mt. After the day session opened, international copper prices fluctuated upward in a unidirectional manner. In the final stage of trading, prices surged strongly, closing at an intraday high of 70,320 yuan/mt. The price rose by 580 yuan/mt, representing a 0.83% increase. Open interest stood at 3,192 lots, an increase of 459 lots from the previous trading day, with trading volume reaching 3,903 lots. On the macro side, as the US tariff grace period approaches its end, market concerns about stagflation have intensified, coupled with rising expectations of interest rate cuts. This has led to a decline in the US dollar index, supporting copper prices.

The most-traded SHFE copper 2508 contract closed at 78,890 yuan/mt. If calculated based on the most-traded BC copper 2508 contract price of 70,320 yuan/mt, the after-tax price would be approximately 79,462 yuan/mt. The price spread between the SHFE copper 2508 contract and the BC copper 2508 contract is -572, maintaining an inversion and narrowing compared to the previous day.