Elsewhere, physical premiums in Europe and the United States were unchanged amid persistently soft spot demand.
Cif Shanghai premium rises on arbitrage opportunities, lower availability
In China, the cif Shanghai copper cathode premium rose to its highest - basis midpoint - since mid-February after arbitrage opportunities between London and Shanghai emerged following a weakening in the Chinese currency.
Lower availability of copper, with China’s refined copper import volumes falling in June and Shanghai-bonded stocks declining to an eight-month low, also provided support for the cif Shanghai premium this past week.
Fastmarkets assessed the copper grade A cathode premium, cif Shanghai at $58-75 per tonne on Tuesday, up from $55-68 per tonne a week earlier. The latest range, with a midpoint of $66.50 per tonne, represents the highest since mid-February.
The increase is notable because the cif Shanghai premium had been hovering between $50-70 throughout July.
Market participants attributed the upward trend to a significant depreciation in...