Unlike the past few years when the market was suffering from the commodity price downturn, sentiment has become more optimistic after news of limited new supply and copper prices held around $7,000 per tonne. But, steady demand and scrap-policy disruption are lending support to the 2018 outlook.
Below are the six things we learned from the conference:
Premiums were largely flat or experienced a tiny increase
One month remains for Codelco to officially offer its long-term contract premiums for 2018 and, though average premiums so far this year have been fairly below the benchmark of $72 per tonne, most Chinese customers still believe Codelco has a chance to maintain or make a slight increase on next year’s number.
Metal Bulletin assessed cif Shanghai copper premiums
during the first nine months of 2017 to average between $50 and $63 per tonne.
Given Codelco’s cathode for long-term contract is all...