Fastmarkets proposes to discontinue its assessment of the copper rod annual premium, cif Nhava Sheva, due to a lack of liquidity and excessively long premium negotiation periods.
Annual premium negotiations between Indian buyers and international sellers can run for as long as seven months, making it very difficult for price reporters to capture deals and concentrate trade liquidity.
Fastmarkets generally focuses its price discovery process on spot assessments that can serve as reference or as a basis for settlement for market participants, rather than annual contract premiums. But we remain committed to offering more transparency on pricing in the global copper wire rod market and to expanding our current price suite, which includes a monthly assessment of the
copper rod premium, ddp Midwest US, US cents per lb.
The price assessment being proposed for discontinuation is:
Copper rod annual premium, cif Nhava Sheva, $ per tonneThe consultation period for this price discontinuation will end one month from the date of this pricing notice, on October 24, with changes taking place, subject to market feedback, from October 25.
To provide feedback on this proposal, or if you would like to provide price information by becoming a data submitter to other copper prices, please contact Ellie Wang by email at:
pricing@fastmarkets.com. Please add the subject heading "FAO: Ellie Wang, re: Copper rod annual premium, cif Nhava Sheva."
To see all Fastmarkets' pricing methodology and specification documents, go to
https://www.fastmarkets.com/about-us/methodology.