GLOBAL COPPER WRAP: Premiums down in Shanghai, steady across Asia, Europe; LME to suspend delivery of Sterlite's Tuticorin brands

October 18, 2018 / www.metalbulletin.com / Article Link

Global copper premiums were broadly steady in the week ended Tuesday October 16, with market participants primarily focused on long-term contract negotiations that took place during LME Week in London. In China, Shanghai copper premiums retreated on rising inflows of the metal into the country and a closed arbitrage window.

In news, Sterlite Copper's Tuticorin brands of cathode are likely to remain out of the refined market after the London Metal Exchange announced it would be suspending delivery of such material from January 16, 2019. Shanghai cif premium softens on increasing supply, negative import arbitrage. Southeast Asian premiums flat; regional supply set to tighten once LME suspends delivery of Tuticorin brands of cathode. European premiums stable amid thin spot trading interest; Aurubis says rolled-copper business sale to Wieland unlikely. US copper premium unchanged; participants optimistic after attending LME Week.Shanghai cif premium retreats on rising supply, closed arbitrage windowAfter reaching a three-year high of $110-115 per tonne at the end of September,  the copper cathode premium on a cif Shanghai basis has largely been on a downward trajectory.Fastmarkets assessed the grade A copper cathode premium on a cif Shanghai basis at $93-103 per tonne on Tuesday, down from $95-105 per tonne...

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