SMM, March 18:
Today, #1 copper cathode spot prices against the SHFE copper 2504 contract were quoted at a discount of 10 yuan/mt to a premium of 50 yuan/mt, with an average premium of 20 yuan/mt, down 5 yuan/mt from the previous trading day. Standard-quality copper transaction prices ranged from 80,340 to 80,780 yuan/mt, while high-quality copper transaction prices ranged from 80,380 to 80,810 yuan/mt. The SHFE copper 2504 contract surged again during the morning session, fluctuating upward at the opening and breaking through to 80,780 yuan/mt. The price spread between the SHFE copper 2504 and 2505 contracts narrowed from 120-150 yuan/mt to 50-80 yuan/mt.
The intraday price spread continued to narrow, and the sustained rise in copper prices weakened downstream buying interest. At the opening, suppliers quoted mainstream standard-quality copper at a discount of 10 yuan/mt to a premium of 20 yuan/mt, and high-quality copper at a premium of 20 yuan/mt to 40 yuan/mt. After some low-priced cargoes were traded, premiums slightly increased, but overall market transactions were sluggish, with limited available supply. During the main trading session, mainstream standard-quality copper was quoted at a premium of 10 yuan/mt to 30 yuan/mt, and high-quality copper at a premium of 30 yuan/mt to 50 yuan/mt. SX-EW copper was in tight supply, with few offers heard. A small volume of non-registered cargoes was traded, with the price spread against mainstream standard-quality copper narrowing. By 11:00 a.m., market quotations stabilized, and overall trading activity slowed.
The overall market transactions in the early session were mediocre, similar to the previous day. Downstream demand continued to improve, but short-term buying interest remained weak. Spot premiums are expected to remain stable tomorrow.
