GLOBAL COPPER WRAP: Chinese premiums fall further

China’s appetite for imported copper cathode was low amid unfavorable market conditions over the week to Tuesday October 26, resulting in premiums falling. In the United States, a quiet market kept the premium unchanged.

Sluggishness persists in China
Chinese premiums for imported copper cathode continued to decline during the week due to high copper prices and a steep backwardation on the London Metal Exchange.
The backwardations seen in LME spreads have narrowed after the exchange implemented temporary measures to cool the copper market.
But the current backwardation in the cash/three-month spread, which narrowed to $167 per tonne recently from a high of $1,100 per tonne on October 18, is still keeping participants away from the spot market, sources said.

“The backwardation remains...

Published

Sally Zhang

Yasemin Esmen

October 27, 2021

07:33 GMT

Shanghai, New York