Copper concentrate charges down 1.8%, backwardation shrinks liquidity

Spot copper concentrate treatment and refining charges (TCs/RCs) fell 1.8% toward the end of October while a rapidly widening backwardation reduced market liquidity.

Fastmarkets MB’s assessment of the TC/RC index was lower by $1.60 per tonne/0.16 cents per lb at $87.40 per tonne/8.74 cents per lb on October 31. The previous assessment of $89 per tonne/8.9 cents per lb on October 15 was a one-year high.

The market is entering a seasonal lull in liquidity. After the volatile swings in spot-market terms throughout the year, most traders have balanced their books, while smelters are keen to gauge sentiment and discuss long-term contracts during the copper industry’s Cesco Asia Week conference in Shanghai over November...


Archie Hunter

October 31, 2018

19:55 GMT