On April 10, copper prices saw strong increases at LME while mild growth at SHFE and China's spot market, amid uncertainties of Middle East conflicts. Despite price increases, China's refined copper trading and spot premiums rose, due to downstream enterprises' procurement needs before the weekend and holders' bullish stance.
Growing refined copper prices widened the refined-scrap copper price spread on April 10, highlighting copper scrap's trading advantage and resulting in easing supply. Downstream processors using copper scrap as raw materials continued purchasing at rigid needs, remaining cautious overall.
China's copper semis markets stayed generally stable on April 10, as cautious sentiment grew with copper prices increasing. Frequently fluctuating raw material prices and concerns over global economy growth led end-users to adopt wait-and-see stances, while April's peak consumption season in China has also yet to materialize.
Overall, though China's copper market fundamentals are supportive for prices, macro disruptions will continue significantly impacting short-term price trends.
Written by Mingyuan Wang, wangmingyuan@mysteel.com
