In-warehouse Shanghai copper premium rises on tightening bonded stocks supply
- Falling London Metal Exchange three-month copper price contributes to increased spot market liquidity in Europe
- US market participants report an increase in spot inquiries, though premium was unchanged
The in-warehouse Shanghai copper cathode premium hit an eight-month high this week, primarily due to a three-year low in Shanghai-bonded stocks
Fastmarkets assessed the copper grade A cathode premium, in-whs Shanghai
at $67-82 per tonne on Tuesday September 3, up by $2-3 per tonne from $64-80 per tonne on August 27.
Shanghai-bonded copper stocks
, at 360,000-365,000 tonnes as of August 26, are currently at the lowest since February 2016, according to Fastmarkets’ latest assessment.
Traders are reluctant to sell currently due to the upcoming busy season in September and October, market sources told Fastmarkets.
A Shanghai-based trader said higher offers and deals were reported from the bonded warrants market in...