Cif Shanghai copper premium falls further, now lowest since March 2017
- Limited buying interest ahead of the national holidays has dragged the Shanghai copper premium to its lowest level in almost three years
- Copper premiums are stable in Europe and the United States, with minimal spot activity for the first week of 2020
The cif Shanghai copper premium has fallen to its lowest level since March 24, 2017, measured by the average price, amid insipid physical demand and the poor arbitrage.
Fastmarkets assessed copper grade A cathode premium, cif Shanghai
, at $33-48 per tonne on Tuesday January 7, down by $3.50 per tonne at the mid point from $38-50 per tonne a week ago.
“[There is] no physical demand out there, and the poor arb further depresses trading interest,” a Shanghai-based trader said.
“The arb loss has narrowed since last Friday and market inquiries are growing. But the premiums...