GLOBAL COPPER WRAP: Chinese, US premiums fall; Codelco rolls over China premium offer

Spot copper premiums in China and the United States retreated on weak physical demand this past week, while ample availability in the Dutch port of Rotterdam and elevated prices on the London Metal Exchange kept spot trading in Europe minimal.

Low spot appetite for Shanghai copper as arbitrage window stays closed

Copper premiums in Shanghai softened slightly from a week ago with lower offers heard for top brands of cathode.
Fastmarkets' benchmark grade A copper cathode premium, cif Shanghai was at $40-50 per tonne on Tuesday October 27, narrowing downward by $3 per tonne from $40-53 per tonne a week earlier.
There was interest for top brands of cathode such as CCCP, ENM and ILO during the week with traders eager to include such brands in their November-delivery cargoes, but premium levels – even those for top brands of cathode – fell to below $50 per tonne earlier this week, market sources said.

On Tuesday, top-branded cathodes were offered and sold in the mid-$40s while traders attempted to offload cargoes before they hit the port of Shanghai. Fastmarkets is monitoring the situation to see if these fire-sale deals are indicative of a...


Archie Hunter

Julian Luk

Hassan Butt

Rijuta Dey Bera

October 28, 2020

07:28 GMT

Hong Kong, London, New York