Shanghai premiums fall on wider backwardation, steeper import losses
- Premiums in Shanghai weaken further on sparse trading activity, widening import losses
- Copper premiums edge up in Rotterdam and Italy, with participants pegging higher levels for LME-branded material
- US premium steady at 22-month high, supported by elevated freight and fuel costs
A wider backwardation in nearby LME spreads caused the premium for Shanghai-bonded copper cathode
to weaken over the past week, with Metal Bulletin’s latest assessment of the premium placing it at $68-83 per tonne on Tuesday June 12, down from $70-83 per tonne a week ago.
Participants who spoke to Metal Bulletin pegged the premium for electro-refined (ER) cathode warrants at $78-83 per tonne this week, unchanged from the prior week. Meanwhile, the premium for solvent extraction-electrowinning (SX-EW) cathode warrants was said to be at $68-72 per tonne, down $2 per tonne on the low end of the range from...