Spot copper sellers hold back as prices of futures decline

May 30, 2018 / news.metal.com / Article Link

SHANGHAI, May 30 (SMM) – Spot copper was mostly offered at a discount of 70 yuan/mt to flat over the SHFE 1806 contract on Wednesday May 30 in the Shanghai market. This compared with a discount of 80-20 yuan/mt on Tuesday May 29.

The SHFE 1806 contract slumped to close at 50,900 yuan/mt in the morning trading session, over 400 yuan/mt lower from the end of Tuesday morning. 

As prices of futures weakened, some downstream buyers showed greater inclination to stockpile.

However, transaction liquidity slowed down during the second trading session in the morning as smelters held back. Buyers hesitated as offers rose from a discount of 10 yuan/mt to flat for high-quality copper this morning. 

Discounts for hydro-copper also narrowed to 90 yuan/mt at noon, from 130 yuan/mt in the morning. 

At noon, high-grade copper traded at 51,040-51,140 yuan/mt and standard-quality copper traded at 51,000-51,100 yuan/mt.

 


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