Glencore Acquires Peruvian Copper Project, LME Copper Fluctuated and Closed Higher Overnight [SMM Copper Morning Meeting Minutes]

Thursday, December 18, 2025
Futures: Overnight, LME copper opened at $11,715/mt. It fluctuated downward at the beginning of the session, touching a low of $11,704/mt. Subsequently, the center of copper prices gradually moved upward, reaching a high of $11,821.5/mt, then fluctuated downward and finally closed at $11,742.5/mt, a gain of 1.06%. Trading volume reached 16,800 lots, and open interest reached 344,000 lots. Overnight, the most-traded SHFE copper 2602 contract opened at 92,830 yuan/mt. It fluctuated upward at the beginning of the session, touching a high of 93,500 yuan/mt. Subsequently, the center of copper prices gradually moved downward, touching a low of 92,610 yuan/mt, then fluctuated considerably and finally closed at 92,860 yuan/mt, a gain of 0.51%. Trading volume reached 90,500 lots, and open interest reached 228,000 lots.
[SMM Copper Morning Conference Minutes] News:
(1) On December 17, Ecuador's state mining company ENAMI plans to launch an international tender in 2026 for the $3 billion Llurimagua copper-molybdenum project.
(2) On December 17, Glencore stated in a Tuesday announcement that it expanded its business in Peru and enhanced its position among metal producers in the country by acquiring the Peruvian Quechua copper project, which is adjacent to its Antapaccay operation in Peru.
Spot:
(1) Shanghai: On December 17, SMM's #1 copper cathode spot prices against the front-month 2512 contract were quoted at a discount of 200 yuan/mt to a discount of 100 yuan/mt, with the average price quoted at a premium of 150 yuan/mt, down 25 yuan/mt from the previous trading day. SMM's #1 copper cathode prices were 92,000-92,290 yuan/mt. In the morning session, the SHFE copper 2601 contract fluctuated rangebound between 92,200-92,400 yuan/mt, with the inter-month price spread basically between C120-C90. Looking ahead to today, the weak year-end consumption situation is difficult to change. Spot prices against the SHFE copper 2601 contract are expected to edge down slightly tomorrow.
(2) Guangdong: On December 17, Guangdong's #1 copper cathode spot prices against the front-month contract were quoted at a premium of 50 yuan/mt to a premium of 100 yuan/mt, with the average premium at 75 yuan/mt, down 40 yuan/mt from the previous trading day. SX-EW copper was quoted at a discount of 40 yuan/mt to a discount of 20 yuan/mt, with the average discount at 30 yuan/mt, down 10 yuan/mt from the previous trading day. The average price of Guangdong's #1 copper cathode was 92,380 yuan/mt, up 105 yuan/mt from the previous trading day. The average price of SX-EW copper was 92,275 yuan/mt, up 135 yuan/mt from the previous trading day. Overall, both inventory and copper prices declined. Suppliers intended to hold prices firm, but the large discount in Shanghai dragged down the Guangdong market. The premium only held flat compared to the previous day, and overall trading activity was also poor.
(3) Imported copper: On December 17, warrant prices were $38-50/mt, QP December, with the average price up $2/mt from the previous trading day. B/L prices were $45-55/mt, QP January, with the average price up $2/mt from the previous trading day. EQ copper (CIF B/L) was $8-16/mt, QP January, with the average price flat from the previous trading day. Quotations referred to cargoes arriving in late December and early January.
(4) Secondary copper: At 11:30 on December 17, the futures closing price was 91,700 yuan/mt, down 590 yuan/mt from the previous trading day. The average spot premium/discount was -125 yuan/mt, down 185 yuan/mt from the previous trading day. Today, the price of recycled copper raw materials remained unchanged MoM. The price of bare bright copper in Guangdong was 81,800-82,000 yuan/mt, unchanged from the previous trading day. The price difference between copper cathode and copper scrap was 3,981 yuan/mt, down 775 yuan/mt MoM. The price difference between copper cathode rod and secondary copper rod was 1,560 yuan/mt. According to the SMM survey, as smelters' demand for copper anode decreased in December, many enterprises producing spot order copper anode reported significant accumulation of finished product inventories. Enterprises with long-term contracts signed indicated that due to invoice amount limits, some invoices need to be postponed until after January 2026.
(5) Inventory: On December 16, LME copper cathode inventories increased by 325 mt to 166,925 mt. On December 17, SHFE warrant inventories decreased by 907 mt to 44,877 mt.
Price: On the macro front, the latest US Fed survey indicated that tariff pressures could push up inflation levels next year. Meanwhile, Governor Waller, based on labor market performance, advocated for continuing to advance interest rate cuts, reflecting the Fed's policy trade-off between curbing inflation and supporting the economy. On the fundamentals, supply side, spot market supply is relatively ample currently, and suppliers show strong willingness to sell, but transaction performance is average. Demand side, performance was weak as it approached the end of the year. Overall, copper prices are expected to see their center continue to move higher today.
[The information provided is for reference only. This article does not constitute direct advice for investment research decisions. Clients should make decisions cautiously and not use this to replace independent judgment. Any decisions made by clients are unrelated to SMM.]