Codelco offer unsurprising; physical buying slows in Shanghai
- Codelco offers 2018 cif Shanghai premiums at $75 per tonne, widely within market expectations
- Shanghai and European numbers weaken on closed arbitrage, ample stocks
- Rising freight fees and borrowing costs pushed up US premiums slightly higher
Codelco has offered cif Shanghai copper premiums at $75 per tonne
for 2018 long-term contracts, up $3 per tonne from 2017, traders who received the offer told Metal Bulletin on Tuesday November 21
Buyers in Asia viewed this number as an accurate reflection of the current physical market and also in line with market expectations for 2018.
“It was widely expected [to be] flat or slightly higher, so [it is] not surprising, but it’s hard to get buyers to place more orders as there is still ample supply for next year,” a buyer in Shanghai said....