Shanghai Copper Premiums Under Pressure as Month-End Trading Ends Quietly
Copper prices in Shanghai's spot market experienced a quiet month-end trading session, with spot copper premiums under pressure.
According to SMM, SHFE copper prices pulled back during the day, triggering dip-buying inquiries and purchases from some downstream consumers. However, end-user orders are still mostly concentrated around 104,500 yuan/mt, leaving actual demand growth relatively limited.
The supply of spot cargoes with invoices dated this month is relatively tight, providing support to their quotes. In contrast, the market for next-month invoice cargoes is more abundant, and suppliers show a strong willingness to sell. The price spread between current-month and next-month invoice cargoes is expected to persist.
Despite the dip-buying supported by the price pullback and demand for current-month invoices, Shanghai spot copper prices against the 2608 contract are expected to remain at a premium tomorrow, with the overall center likely to move sideways around the current level.