The trading range of refined copper on September 30 was Yuan 62,550-62,730/tonne, the average price was Yuan 62,640/tonne, with an increase of Yuan 225/tonne.
Affected by yesterday's LME discussion of whether to ban Russian metals, LME copper price was boosted and the overnight price opened high and the intraday price was running strongly. The overall trading price continued to move up compared with the previous trading day, and the Shanghai market premium was close to Yuan 600/tonne.
Today is the last day of this month and before the National Day holiday, most of the traders have entered a state of vacation. The market supply was scarce, although the backwardation was again expanded to more than Yuan 900/tonne. The market supply was tight, and the downstream producers were still willing to purchase, thus traders quoted at high price. Overall, at the end of the pre-holiday trading day, although the pre-stock sentiment in the downstream market has weakened, intraday transactions remained positive.
At present, the social inventory continues to maintain a low level, but the destocking pace slows, thus post-holiday inventory will be worth to pay attention to. It is expected that the traders are facing the pressure of high backwardation, coupled with the weakening of downstream procurement sentiment, the situation of strong premium will change.
Refined copper rod transaction performance was general, and some companies have suspended pre-holiday transactions, thus market trading activity has declined. A few manufacturers were in the negotiation of post-holiday orders, but transactions were relatively limited. Some small orders were still in progress and the transaction was relatively smooth. From today's overall transaction, the market was in the pre-holiday adjustment period. The overall transaction was relatively limited, even if there was a large order, the volume was only about 500-600 tonnes.
Secondary copper rod transaction was not ideal. Some companies only obtained a truck of order transactions, and the market trading activity was not high. Some secondary copper rod enterprises had low willingness to offer and adjust prices, so there was no improved transaction performance.
The scrap copper market was trading fairly. Near the National Day, most of the scrap traders were pessimistic about the post-holiday market and have sold goods and cleaned up inventory to prepare for the holiday. Downstream copper fabricators stockpiling was basically finished, and inventory was relatively sufficient. Acceptance for high-priced copper scrap was limited and purchase just met the need of orders. The market is also gradually entering a holiday state.
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