SMM, July 3: Today, Guangdong #1 copper cathode spot prices against the front-month contract: high-quality copper was quoted at a premium of 60 yuan/mt, up 10 yuan/mt from the prior trading day; standard-quality copper was quoted at 20 yuan/mt, up 20 yuan/mt from the prior trading day; and SX-EW copper was quoted at a discount of 50 yuan/mt, up 10 yuan/mt from the prior trading day. The average price of Guangdong #1 copper cathode was 102,965 yuan/mt, up 625 yuan/mt from the prior trading day, while the average price of SX-EW copper was 102,875 yuan/mt, up 620 yuan/mt from the prior trading day. Spot market: Guangdong inventory pulled back for a second consecutive day, mainly due to reduced arrivals and increased warehouse withdrawals. Suppliers held prices firm amid the continuous decline in inventory. Downstream restocking volumes increased somewhat ahead of the weekend, but the concurrent rise in copper prices and premiums constrained procurement volumes. Today’s copper cathode procurement sentiment in the Guangdong region stood at 2.48, unchanged from the prior trading day, while shipment sentiment came in at 2.89, up 0.03 from the prior trading day (historical data can be queried by logging into the database). Overall, suppliers held prices firm amid the continuous decline in inventory, but overall trading was moderate.

SMM July 2 News: Data highlights: As of Thursday, July 2, SMM copper inventories in major Chinese regions decreased by 6,100 mt WoW to 199,900 mt. Total inventories were 68,100 mt higher compared to 131,800 mt in the same period last year. Specifically, in Shanghai, reduced arrivals of both imported and domestic cargoes, along with downstream enterprises gradually picking up goods, drove inventory destocking; the situation was similar in Jiangsu, where downstream demand recovered and inventories also pulled back; in Guangdong, the mid-year settlement coincided with multiple downstream enterprises making temporary production cuts, causing Guangdong's inventories to keep rising. Looking ahead, on the supply side, imported cargo arrivals are expected to stay stable in the near term, while domestic cargo arrivals remain low. On the demand side, after copper prices stabilized, downstream buying sentiment weakened, with only just-in-time procurement being made. Currently, spot supply is generally tight, and the market is dominated by just-in-time purchases. National copper social inventories are expected to continue destocking next week.

[Japan] Tokyo Steel announced a reduction of its domestic steel scrap purchase prices in the Tokyo Bay area by approximately 3.1 USD/tonne, effective June 26, with shindachi scrap cut by approximately 6.2 USD/tonne. After the adjustment, H2 scrap purchase prices in the Tokyo Bay and Kyushu areas both decreased to 331 USD/tonne, while in other areas they fluctuate between 331 and 334 USD/tonne. The latest price cut was primarily driven by weak demand for finished steel in the local construction and manufacturing sectors, prompting coastal EAF mills to precisely push for lower raw material prices to squeeze profits.

[SMM Rare Earth Weekly Review: Rare Earth Prices Surge and Pull Back, News-Driven Volatility Cools Trading] Recently, supported by reports of production cuts at scrap recycling enterprises alongside recovering downstream demand, most suppliers sharply raised their quotations and market confidence strengthened notably. On Thursday, however, renewed bearish speculation rattled the market, triggering a sharp drop in futures prices. Spot market prices for Pr-Nd oxide followed suit and pulled back. As of today, Pr-Nd oxide prices have undergone volatile adjustments to 743,000-747,000 yuan/mt.

Overnight, LME copper opened at $13,278.5/mt, touched a high of $13,289/mt right after opening, then its center moved downward to hit $12,988/mt, and finally closed at $13,026.5/mt, down 2.59%. Trading volume reached 36,000 lots, open interest stood at 248,000 lots, a decrease of 4,061 lots from the previous trading day, reflecting long position liquidation. Overnight, the most-traded SHFE copper 2608 contract opened at 102,200 yuan/mt, edged up slightly to 102,260 yuan/mt in early trading, then fluctuated downward to touch a low of 100,500 yuan/mt, and finally closed at 100,880 yuan/mt, down 2.58%. Trading volume reached 93,000 lots, open interest stood at 162,000 lots, an increase of 5,968 lots from the previous trading day, reflecting bearish position additions.

[SMM Steel] Pomini Tenova and Siemens have announced a renewed and strengthened partnership to advance the revamping and modernization of roll grinders, building on over 40 years of collaboration and nearly 1000 Pomini Tenova machines already equipped with Siemens technologies. The next phase emphasizes transitioning to fully autonomous machine operation. By integrating Pomini Tenova's mechanical upgrades and process-specific accessories with Siemens' technologies, the collaboration lays the groundwork for autonomous operation via digital monitoring, diagnostic tools, and predictive maintenance. The partnership also leverages industrial AI-based features to enable continuous process optimization. These revamping solutions aim to boost productivity, minimize downtime, improve safety standards, and maintain high grinding quality throughout the machines' lifespan.