Inventory posts three consecutive declines but spot premiums fall, overall trading moderate [SMM South China Copper Spot]

SMM July 6:

Today, in Guangdong, #1 copper cathode spot against the front-month contract: high-quality copper was quoted at 70 yuan/mt, up 10 yuan/mt from the previous trading day; standard-quality copper was quoted at a discount of 10 yuan/mt, down 30 yuan/mt; and SX-EW copper was quoted at a discount of 90 yuan/mt, down 40 yuan/mt. The average price of #1 copper cathode in Guangdong was 103,355 yuan/mt, up 390 yuan/mt from the previous trading day, while the average price of SX-EW copper was 103,245 yuan/mt, up 370 yuan/mt.

Spot market: Guangdong inventory fell for a third consecutive day, with reduced arrivals and increased shipments being the cause. Although inventory declined, suppliers did not hold prices firm when selling; instead, they proactively lowered prices to sell, mainly because some suppliers were eager to cash out. Affected by this, today's premiums saw a significant decline, and transactions improved slightly after the premiums fell. Today, purchasing sentiment for copper cathode in Guangdong was 2.51, up 0.03 from the previous trading day, while selling sentiment was 2.85, down 0.04 (historical data can be accessed by logging into the database).

Overall, inventory fell for three straight days but spot premiums moved lower, with generally moderate trading.