Wednesday, January 7, 2026
Futures: Overnight, LME copper opened at $13,234.5/mt, and after hitting a high of $13,333.5/mt early in the session, its center declined sharply to hit bottom at $13,152.5/mt, then maintained rangebound fluctuations at high levels, finally closing at $13,254.5/mt, up 1.28%. Trading volume increased by 9,816 lots to 47,000 lots, while open interest fell by 1,517 lots to 338,000 lots, mainly due to short covering. Overnight, the most-traded SHFE copper 2602 contract opened at 104,480 yuan/mt, touched a high of 105,490 yuan/mt at opening, then fluctuated rangebound, finally closing at 104,600 yuan/mt, up 1.46%. Trading volume decreased by 131,000 lots to 160,000 lots, while open interest fell by 3,168 lots to 220,000 lots, mainly due to long liquidation.
[SMM Copper Morning Conference Summary] News:
(1) On January 5, Chilean media La Tercera reported that Codelco's copper production reached approximately 1.332 million mt in 2025, slightly higher than the 1.328 million mt in 2024. The 2025 output increased by about 4,000 mt compared to the previous year, indicating a slight upward trend. Codelco Chairman Maximo Pacheco stated that this year's production improved YoY. Despite facing unfavourable factors such as declining ore grade, operational challenges, and an accident at its flagship El Teniente mine, the company maintained an important position in global copper supply. Codelco has not yet provided official comments on this production data.
Spot:
(1) Shanghai: During the morning session on January 6, the SHFE copper 2601 contract moved from 102,880 yuan/mt to above 104,100 yuan/mt, then slightly pared gains. Looking ahead, high copper prices are expected to continue suppressing consumption, and spot trades are likely to continue at a discount, but market purchases will be monitored as the delivery date approaches.
(2) Guangdong: On January 6, spot prices of #1 copper cathode in Guangdong against the front-month contract were at a discount of 20 yuan/mt to a premium of 50 yuan/mt, with the average premium at 15 yuan/mt, down 25 yuan/mt from the previous trading day. SX-EW copper was quoted at a discount of 100-80 yuan/mt, with the average discount at 90 yuan/mt, down 30 yuan/mt from the previous trading day. The average price of #1 copper cathode in Guangdong was 103,815 yuan/mt, up 3,590 yuan/mt from the previous trading day, while the average price of SX-EW copper was 103,710 yuan/mt, up 3,585 yuan/mt from the previous trading day. Overall, both inventory and copper prices hit new highs, downstream users retreated to the sidelines again, and spot trades were quiet.
(3) Imported copper: On January 6, warrant prices were $34-44/mt, QP January, with the average price down $4/mt from the previous trading day; B/L prices were $38-50/mt, QP February, with the average price down $2/mt from the previous trading day; EQ copper (CIF B/L) was -$4/mt to $12/mt, QP February, with the average price down $2/mt from the previous trading day. The quotes referred to cargoes arriving in early to mid-January.
(4) Secondary Copper: At 11:30 on January 6, the futures closing price was 103,900 yuan/mt, up 3,290 yuan/mt from the previous trading day; the average spot premium/discount was -20 yuan/mt, down 55 yuan/mt from the previous trading day. Today, the price of recycled copper raw materials rose 2,000 yuan/mt MoM. The price of bare bright copper in Guangdong was 89,300-89,500 yuan/mt, up 2,000 yuan/mt from the previous trading day. The price difference between copper cathode and copper scrap was 6,175 yuan/mt, up 1,049 yuan/mt MoM. The price difference between copper cathode rod and secondary copper rod was 2,845 yuan/mt. According to the SMM survey, copper prices surged sharply during the day. With almost no consumption from end-users, the copper price hitting new highs again nearly eliminated even rigid demand, resulting in sluggish transactions for secondary copper rod.
Price: On the macro front, US Fed Governor Milan stated that interest rate cuts in 2026 should exceed 100 basis points, intensifying market expectations for further rate cuts and providing upward momentum for copper prices. In addition, market concerns over tight supply and optimism about future demand from data centers also supported the rise in copper prices. On the fundamentals side, supply side, both registered and non-registered sources were relatively ample overall; demand side, consumption remained weak, suppressed by the surge in copper prices. Overall, given the fundamental pattern of strong supply and weak demand, copper prices are expected to have limited upside room today.
[The information provided is for reference only. This article does not constitute direct investment research or decision-making advice. Clients should make decisions cautiously and not use this to replace their own independent judgment. Any decisions made by clients are unrelated to SMM.]
Codelco's Production Slightly Increased in 2025, LME Copper Fluctuated and Closed Higher Overnight [SMM Copper Morning Meeting Minutes]
SMM Morning Meeting Minutes: LME copper opened at $13,234.5/mt overnight. After hitting a high of $13,333.5/mt at the beginning of the session, its price center declined sharply, hitting a bottom of $13,152.5/mt, then fluctuated rangebound at high levels and finally closed at $13,254.5/mt, up 1.28%. Trading volume increased by 9,816 lots to 47,000 lots, and open interest fell by 1,517 lots to 338,000 lots, mainly due to short-covering. The most-traded SHFE copper 2602 contract opened at 104,480 yuan/mt overnight. After opening, it hit a high of 105,490 yuan/mt, then fluctuated rangebound and finally closed at 104,600 yuan/mt, up 1.46%. Trading volume decreased by 131,000 lots to 160,000 lots, and open interest fell by 3,168 lots to 220,000 lots, mainly due to long liquidation.
Data Source Statement: Except for publicly available information, all other data are processed by SMM based on publicly available information, market communication, and relying on SMM‘s internal database model. They are for reference only and do not constitute decision-making recommendations.
For any inquiries or to learn more information, please contact: lemonzhao@smm.cn
For more information on how to access our research reports, please contact:service.en@smm.cn
Related News
Feb 6, 2026 23:56
"Premier Li Qiang Leads State Council Meeting on Enhancing Effective Investment, Boosting Economic Growth"
Read More
"Premier Li Qiang Leads State Council Meeting on Enhancing Effective Investment, Boosting Economic Growth"
Premier Li Qiang presided over an executive meeting of the State Council to study policy measures for promoting effective investment. The meeting noted that promoting effective investment plays an important role in stabilizing economic growth and strengthening momentum for development. It is necessary to innovate and improve policy measures, and intensify efforts to enhance the efficiency of utilizing funds such as central budget investments, ultra-long-term special treasury bonds, local government special bonds, and new-type policy-based financial instruments. In conjunction with formulating and implementing the 15th Five-Year Plan
Feb 6, 2026 23:56
Feb 6, 2026 23:54
"Guided by Xi Jinping Thought, Implement 20th CPC Congress Spirit, Apply New Development Philosophy...
Read More
"Guided by Xi Jinping Thought, Implement 20th CPC Congress Spirit, Apply New Development Philosophy...
Guided by Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era, we will thoroughly implement the spirit of the 20th National Congress of the Communist Party of China and the plenary sessions of the Party’s 20th Central Committee, fully and faithfully apply the new development philosophy, strengthen top-level design, build computing power interconnection nodes oriented toward national hub periods, major strategic regions, and key industries, establish a system of computing power interconnection nodes, improve the efficiency and service level of public computing power resources, and promote high-quality development of computing power.
Feb 6, 2026 23:54
Feb 6, 2026 23:47
Indirect Iran-US Nuclear Talks in Muscat Show Progress, Omani FM Mediates Tense but Efficient Discussions
Read More
Indirect Iran-US Nuclear Talks in Muscat Show Progress, Omani FM Mediates Tense but Efficient Discussions
After intensive indirect consultations, the new round of nuclear talks between Iran and the US in Muscat, the capital of Oman, has achieved phased progress.
It is reported that during this round of talks, the Iranian and US delegations did not meet directly. Instead, Omani Foreign Minister Badr acted as an intermediary, conveying a series of core proposals, strategic concerns, and policy positions to the other side. The atmosphere at the talks was tense yet efficient. According to preliminary on-site assessments, although both sides continue to negotiate over specific terms, they have reached a consensus on the key objective of "continuing dialogue."
Feb 6, 2026 23:47
Related News
"Premier Li Qiang Leads State Council Meeting on Enhancing Effective Investment, Boosting Economic Growth"
Feb 06, 2026 23:56
"Guided by Xi Jinping Thought, Implement 20th CPC Congress Spirit, Apply New Development Philosophy...
Feb 06, 2026 23:54
Indirect Iran-US Nuclear Talks in Muscat Show Progress, Omani FM Mediates Tense but Efficient Discussions
Feb 06, 2026 23:47
Chile's Jan Copper Exports: 177.235 mt Total, 27,113 mt to China; 1,556,029 mt in Ore/Concentrates, 906,158 mt to China
Feb 06, 2026 23:45