Guangdong Copper Prices Stabilize as End-User Demand Recovers

Copper prices in Guangdong have stabilized after recent fluctuations, according to data from SMM South China spot copper. The average price of #1 copper cathode rose by 360 yuan/mt to 107,235 yuan/mt, while SX-EW copper averaged 107,130 yuan/mt, up 365 yuan/mt from the previous session.

Spot premiums for copper have increased significantly, with #1 copper cathode quoted at a premium of 110-180 yuan/mt against the front-month contract, averaging 145 yuan/mt. This represents an increase of 25 yuan/mt from yesterday's prices. SX-EW copper was quoted at a premium of 30-50 yuan/mt, averaging 40 yuan/mt and up 30 yuan/mt from the previous session.

The stabilization of copper prices can be attributed to the recovery of end-user stockpiling demand and social inventory destocking in Guangdong. Traders maintained high premium quotes as end-users ensured delivery of peak-season orders, leading to increased transaction volumes.