Copper premiums basis cif Shanghai could fall further even after a recent collapse, Shanghai market participants told Fastmarkets.
Copper cathode premiums are being pressured lower due to a steep backwardation in the London Metal Exchange cash/three-month forward spread of more than $40 per tonne as well as sluggish end-user demand in China. Fastmarkets assessed the grade A copper cathode premium cif Shanghai at $53-63 per tonne on Friday March 1, down 3.3% from $55-65 per tonne the day before and compared with $65-75 at the start of the year. One trader based...