[SHFE Copper Spot] Looking ahead to tomorrow, as the month-end approaches, market sentiment is expected to weaken further, and SHFE copper spot premiums are anticipated to remain stagnant.

In North China today, #1 copper cathode spot prices against the front-month contract ranged from a discount of 100 to 80 yuan/mt, with an average discount of 90 yuan/mt, down 20 yuan/mt from the previous trading day. The transaction price was 79,240-79,330 yuan/mt, with an average of 79,285 yuan/mt, down 100 yuan/mt from the previous trading day.

SMM Morning Meeting Summary: LME copper opened at $9,791.5/mt overnight, initially touching a low of $9,776.5/mt, then rising steadily to reach a high of $9,859.5/mt near the end of the session, before pulling back slightly to close at $9,846.5/mt, with a gain of 0.38%. Trading volume reached 16,000 lots, and open interest stood at 269,000 lots. The most-traded SHFE copper 2510 contract opened and touched a low of 79,290 yuan/mt, then fluctuated upward to reach a high of 79,580 yuan/mt during the session. It pulled back in a "reverse V" pattern towards the end, closing at 79,420 yuan/mt, down 0.05%. Trading volume was 20,000 lots, and open interest was 177,000 lots.

According to SMM, based on the notice "On Standardizing Policies for Attracting Investment" (Notice No. 770 of 2025) issued by four national ministries and commissions including the National Development and Reform Commission, local governments were required to standardize their policies for attracting investment. Additionally, any non-compliant contracts signed after May 2024 needed to be terminated by August 31, 2025. However, in mid-August, secondary copper rod enterprises and scrap anode plate producers across the country stated that they had only become aware of the notice but had not yet received specific instructions from relevant authorities. Despite this, production at many companies had already begun to change. Therefore, the SMM recycling resources team headed to Jiangxi, visiting enterprises directly to gain a comprehensive understanding of how policy changes were impacting businesses

[SHFE Copper Spot] Looking ahead to tomorrow, with current high copper prices and weakening downstream buying, but the occasional appearance of a Contango structure in the near-month contracts makes suppliers unwilling to sell at lower prices, spot premiums are expected to have limited downside room.