Steady demand sees Grade A copper cathode stay flat in Europe
2014-02-06 07:20:29 [Print]
LONDON (Asian Metal) 6 Feb 14 - The copper cathode market has remained flat in Europe over the early days of the week, according to Asian Metal sources. Traders suggest that limited physical business has been concluded in recent days, although demand remains steady. As a result, premiums have held generally flat as small and medium sized traders quote Grade A copper cathode premiums of USD200-235/t EXW North West Europe – a reduction of USD5/t at the high end of the price range.
A West European trader that spoke to Asian Metal on Wednesday explained that they have seen no movement on prices over the past 10 days. The source quotes a premium of USD200-220/t EXW North West Europe above the current LME cash buyer price, a price that they expect will continue to hold flat.
“Supply is tight, but it is not impossible to source material in Europe at all. I have had regular business coming through and have been able to complete those orders which I pursued,” said the source. He continued, “I have a couple of offers out at the moment which I feel confident on securing with the premium offered and cannot foresee any major shifts in the price over the coming week or so.”
A second trader quoted premium prices on Grade A copper cathode at USD220-235/t EXW North West Europe. The source explained that they have taken in the high end of their price range by USD5/t in view of slightly subdued demand and moderately increased material availability. However, the source added that the market generally remains in a similar shape to the one that it was in last week.
The LME copper price dropped back on Wednesday, having moderately arrested a ten-day losing streak which culminated in a year-low of USD7,091/t on the copper cash buyer market on 31 January. Prices on Wednesday close stood at USD7,096/t on the cash buyer market, and USD36/t in backwardation on the three-month price. Stock levels continued to fall, ending the day at 311,225t in total.
A West European trader that spoke to Asian Metal on Wednesday explained that they have seen no movement on prices over the past 10 days. The source quotes a premium of USD200-220/t EXW North West Europe above the current LME cash buyer price, a price that they expect will continue to hold flat.
“Supply is tight, but it is not impossible to source material in Europe at all. I have had regular business coming through and have been able to complete those orders which I pursued,” said the source. He continued, “I have a couple of offers out at the moment which I feel confident on securing with the premium offered and cannot foresee any major shifts in the price over the coming week or so.”
A second trader quoted premium prices on Grade A copper cathode at USD220-235/t EXW North West Europe. The source explained that they have taken in the high end of their price range by USD5/t in view of slightly subdued demand and moderately increased material availability. However, the source added that the market generally remains in a similar shape to the one that it was in last week.
The LME copper price dropped back on Wednesday, having moderately arrested a ten-day losing streak which culminated in a year-low of USD7,091/t on the copper cash buyer market on 31 January. Prices on Wednesday close stood at USD7,096/t on the cash buyer market, and USD36/t in backwardation on the three-month price. Stock levels continued to fall, ending the day at 311,225t in total.
Copper Cathode 99.99%min Delivered China
Unit:RMB/mt
China refined copper producers' operating rate statistics by province by month
Unit: %
