Elsewhere, ample supply softened copper premiums in Italy and the United States, with a seasonal dip in demand and a weakened auto sector cooling spot sales of copper cathode.
Cif Shanghai premium narrows after import arbitrage loss between London and Shanghai widens
Narrowing contango in London Metal Exchange forward spreads weakens trader confidence in holding onto the red metal
Increased supply drags on copper premiums in Italy, the US
Shanghai premiums narrows downward amid fading buying appetite
The copper cathode premium in Shanghai on a cif basis narrowed downward due to a wider import arbitrage loss between London and Shanghai as well as narrowing contango in the cash/three-month copper spread on the LME.
Fastmarkets assessed the premium for grade-A copper cathode at $54-68 per tonne cif Shanghai on Tuesday, narrowing downward by $3 per tonne from $54-71 per tonne a week earlier.
Market participants attributed the softening of the premium to...