Approaching mid-year settlement, suppliers actively cut prices to sell; spot trades sluggish [SMM South China Spot Copper]

SMM, June 29:

Today, Guangdong #1 copper cathode spot against the front-month contract: high-quality copper was quoted at 20 yuan/mt, down by 50 yuan/mt from the previous trading day; standard-quality copper was quoted at a discount of 60 yuan/mt, down by 70 yuan/mt; SX-EW copper was quoted at a discount of 120 yuan/mt, down by 70 yuan/mt. The average price of Guangdong #1 copper cathode was 102,320 yuan/mt, up by 535 yuan/mt from the previous trading day, and the average price of SX-EW copper was 102,220 yuan/mt, up by 525 yuan/mt.

Spot market: Guangdong inventory continued to increase after the weekend, marking seven consecutive trading days of gains, mainly driven by increased arrivals and sluggish consumption. Approaching the mid-year settlement, some suppliers were eager to monetize, which, combined with soft consumption, led to a sharp decline in premiums today. In Guangdong, purchasing sentiment for copper cathode stood at 2.52, down by 0.18 from the previous trading day, while selling sentiment was 2.93, up by 0.03 (historical data can be accessed by logging into the database).

Overall, as the mid-year settlement approached, suppliers actively lowered prices to sell, and spot trades remained sluggish.