Copper Prices Retreat After Rapid Rise, Shanghai Spot Copper Discounts Continue to Stabilize at Low Levels [SMM Shanghai Spot Copper]

SMM October 30 News:

Today, the spot prices of SMM #1 copper cathode against the current month 2511 contract were at a discount of 130 yuan/mt to a premium of 20 yuan/mt, with the average price quoted at a discount of 55 yuan/mt, up 5 yuan/mt from the previous trading day. The SMM #1 copper cathode price ranged from 87,800 to 88,330 yuan/mt. In early morning trading, the SHFE copper 2511 contract fell sharply from 89,000 yuan/mt to around 88,200 yuan/mt, then fluctuated rangebound. The inter-month price spread fluctuated between a contango of 50 yuan/mt and a contango of 20 yuan/mt, while import losses approached nearly 1,000 yuan per ton.

During the day, both purchasing and sales sentiment improved slightly. Copper prices retreated after a rapid rise, and downstream buyers continued to show a bargaining mentality, making just-in-time procurement purchases. The purchasing sentiment for copper cathode in the Shanghai region was 2.87, while sales sentiment was 3.15.At the start of trading, suppliers continued to offer at a discount of 130 yuan/mt, which spurred a wave of transactions. Subsequently, as futures pulled back, downstream purchasing sentiment improved slightly. High-quality copper was tight during the day, with offers edging up. SX-EW and non-registered brands saw poor transactions.

Looking ahead to tomorrow, Friday is expected to see an increase in downstream stocking, but the current high copper prices have led suppliers to adopt a "wait-and-see" attitude toward sales. Spot transactions are expected to remain at low price levels.