Guangdong Copper Market Sees Inventory Surge Amid Weak Demand

The copper market in Guangdong saw significant inventory increases after the Mid-Autumn Festival due to weak downstream consumption during the holiday and increased arrivals.

Although copper prices pulled back, suppliers were forced to lower premiums to sell amid low restocking interest from downstream buyers.

The spot premium for #1 copper cathode against the front-month contract fell by 200 yuan/mt to a premium of 1,200 yuan/mt, while standard-quality copper and SX-EW copper saw similar declines in their spot premiums.

As a result, the average price of #1 copper cathode in Guangdong dropped by 900 yuan/mt to 111,085 yuan/mt, with the average price of SX-EW copper following suit at 110,875 yuan/mt.