GLOBAL COPPER WRAP: Shanghai spot interest stays low; premiums unchanged in Europe, Aurubis rolls over annual benchmark at $96/t

Premiums for copper cathode on a cif basis in China were flat this past week amid lackluster spot activity due to a closed import arbitrage window, while rates in Europe, where major producer Aurubis announced it would be rolling over its annual benchmark premium for 2020, were similarly unchanged.

Muted spot activity keeps cif Shanghai premiums flat European premiums unchanged; Aurubis keeps annual premium at $96/t US premium steady but market faces potential downward pressure Lackluster spot activity keeps cif Shanghai premiums flat Premiums for copper cathode on a cif basis in China were unchanged over the past week amid limited spot activity due to a closed arbitrage window for copper cathode imports into the country. Fastmarkets assessed the copper grade A cathode premium, cif Shanghai at $70-83 per tonne on Tuesday October 22, unchanged from a week earlier. The arbitrage window remained closed over the past week, with importers standing to lose $55.55 for each tonne of copper brought into the country on Tuesday, according to Fastmarkets’ calculations. This is roughly the same as a week earlier, when the import loss was $56.46 per tonne, and was significant enough to deter participants from engaging in spot business....

Published

Julian Luk

Rijuta Dey Bera

Sally Zhang

October 23, 2019

04:17 GMT

Shanghai, London, New York