Spot copper premiums rose in Europe during the past week, while trading interest was minimal in Shanghai and the United States, with the red metal's backwardation remaining a concern.
London Metal Exchange copper's cash to three-month spread was in a $275-per-tonne backwardation on Wednesday, easing from $438 per tonne on Tuesday LME on-warrant copper stocks remain below 40,000 tonnes, while Chinese smelters will release cathode for LME delivery Shanghai copper trading lull; Chinese to export cathode
China's largest copper smelters have
agreed to release cathode for overseas delivery in an attempt to relieve the tightness in LME spreads, sources told Fastmarkets this week.
Following an emergency meeting at the end of October, every Chinese copper smelter with brands eligible for LME delivery has agreed to make their own proposals for exporting cathode to LME warehouses in Asia, including South Korea and Taiwan, two sources with direct knowledge of the matter told Fastmarkets.
The volumes will be "significant," with each smelter's export quantity varying based on their individual situation, they added.
In mid-October, the...