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Tags: SHFE copper prices,  SHFE aluminum prices,  aluminium circle,  SHFE zinc prices,  Shanghai tin prices,  Shanghai nickel prices

SHANGHAI, Aug. 21 (SMM) –    Copper  The most active SHFE 1410 copper contract tracked LME lead down to RMB 48,900/mt after starting Tuesday’s night session at RMB 49,260/mt, and closed down RMB 180/mt at the RMB 49,000/mt mark. During the night session, trading volumes for the most active contract rose slightly to some 120,000 lots, and positions added by 1,212 lots.   On Wednesday, SHFE copper fell initially to RMB 48,900/mt, but rose back to a high of RMB 49,590/mt during the afternoon trading session before ending up RMB 350/mt, or 0.71%, at RMB 49,530/mt. Trading volumes for the SHFE 1410 copper contract gained by 162,000 lots, and positions increased by 5,348 lots. The price of the red metal shows higher momentum to rebound with increasing bulls in the market.   In the Shanghai physical market, copper was offered Wednesday at a RMB 320-450/mt premium over the SHFE 1409 copper contract. Traded prices were RMB 49,550-49,730/mt for standard-quality copper and RMB 49,600-49,800/mt for high-quality copper.   As SHFE copper edged lower, copper premiums rose initially to RMB 300-380/mt, pushed up by cargo holders, which gave middlemen with sufficient cash flows an incentive to buy copper in quantity. The resultant tight supply saw physical premiums rise sharply. Premiums rose by nearly RMB 200/mt subsequently to RMB 380-450/mt after SHFE copper bottomed out. Cargo holders were reluctant to sell on a bullish outlook towards copper prices, while downstream producers were cautious in buying since they considered high premiums short-lived. Transactions were done largely among middlemen on Wednesday.   As SHFE copper staged a rebound in the afternoon trading session, market supply increased slightly, causing physical premiums to narrow some.

from metal.com