Copper Prices Declined, Suppliers Held Prices Firm but Purchase Willingness Was Poor, Overall Trading Was Weak [SMM South China Spot Copper]

SMM April 28 update:

Guangdong #1 copper cathode spot prices against the front-month contract today: high-quality copper was quoted at a premium of 320 yuan/mt, up 40 yuan/mt from the previous trading day; standard-quality copper was quoted at a premium of 230 yuan/mt, up 30 yuan/mt from the previous trading day; SX-EW copper was quoted at a premium of 170 yuan/mt, up 30 yuan/mt from the previous trading day. The average price of Guangdong #1 copper cathode was 102,320 yuan/mt, down 765 yuan/mt from the previous trading day, and the average price of SX-EW copper was 102,215 yuan/mt, down 770 yuan/mt from the previous trading day.

Spot market: Guangdong inventory increased again today, mainly due to increased arrivals and decreased warehouse withdrawals. The recent pattern where inventory no longer rose or fell unilaterally suggested that inventory may have hit bottom. Copper prices pulled back notably, and suppliers actively held prices firm, but downstream end-users showed moderate restocking enthusiasm, as many factories would be closed for 3-4 days during the Labour Day holiday. Additionally, affected by invoice issues, many traders also saw a decline in purchase willingness, and overall trading activity was weak. The purchase sentiment for copper cathode in Guangdong today was 2.3, down 0.04 from the previous trading day, and the shipments sentiment was 3.68, down 0.13 from the previous trading day (historical data can be accessed via the database).

Overall, copper prices declined and suppliers held prices firm, but purchase willingness was poor, with overall trading activity remaining weak.