Today, the most-traded BC copper 2511 contract opened at 79,240 yuan/mt, closing lower with bears reducing positions. During the night session, BC copper initially rose to a high of 79,990 yuan/mt, then fluctuated rangebound. After the daytime opening, copper prices' center gradually shifted downward, approaching a low of 77,990 yuan/mt near the session close, eventually settling at 78,330 yuan/mt, down 0.27%. Open interest decreased to 2,930 lots, down 744 lots from the previous trading day, with a trading volume of 5,998 lots. On the macro front, the US Fed cut interest rates by 25 bps as expected, aligning with market expectations, while the probability of a further rate cut in December declined. A firm US dollar index weighed on copper prices. Meanwhile, Chinese and US trade teams held in-depth consultations on key trade issues, reaching consensus and planning to refine and implement follow-up work. On the supply side, both imported and domestic arrivals decreased, leading to overall tight supply. Demand side, high copper prices dampened downstream purchasing sentiment, with demand remaining weak. Inventory side, as of Thursday, October 30, SMM nationwide copper inventories in mainstream regions decreased by 1,900 mt from Monday to 182,600 mt, but increased by 1,000 mt WoW.
SHFE's most-traded copper 2511 contract settled at 87,910 yuan/mt. Based on BC copper 2511's price of 78,330 yuan/mt, its post-tax price is 88,512 yuan/mt, resulting in a price spread of -602 between SHFE copper 2511 and BC copper. The spread remained inverted and narrowed from the previous day.
