SMM December 30 News:
Today, spot prices of #1 copper cathode in Guangdong against the front-month contract were at a discount of 220-150 yuan/mt, with an average discount of 185 yuan/mt, up 50 yuan/mt from the previous trading day. SX-EW copper was quoted at a discount of 300-280 yuan/mt, with an average discount of 290 yuan/mt, up 40 yuan/mt from the previous trading day. The average price of #1 copper cathode in Guangdong was 97,195 yuan/mt, down 3,475 yuan/mt from the previous trading day, while the average price of SX-EW copper was 97,090 yuan/mt, down 3,485 yuan/mt from the previous trading day.
Spot market: Guangdong inventory continued to increase today, marking the ninth consecutive day of growth, with weak consumption being the main reason. After copper prices pulled back significantly, downstream procurement volume and purchasing desire increased slightly compared to the previous day. Today, procurement sentiment for copper cathode in Guangdong was 1.13, up 0.12 from the previous trading day, while sales sentiment was 3.77, up 0.08 (historical data can be queried in the database). As of 11:00, high-quality copper against the front-month contract was quoted at a discount of 150 yuan/mt, standard-quality copper at a discount of 220 yuan/mt, and SX-EW copper at a discount of 290 yuan/mt. Inventory is expected to continue increasing after the New Year's Day holiday, but as the delivery date approaches, more supplies will flow to warehouses for delivery, reducing the availability of spot cargo in the market. Spot premiums are expected to stop falling and rebound.
Overall, downstream purchasing desire increased slightly after the sharp decline in copper prices, but it remained far below normal levels.
