US copper cathode premium at 8 cents ‘not in the cards’ amid spot lull

摘要

Sellers in the US copper cathode market this week saw spot premiums mostly below the 8-cent mark, although an October surge in spot business was anticipated. A cathode trader said he would offer this week at spot COMEX plus 7.5 cents/lb, net-cash, Midwest, while another trader said, “Eight cents is not in the cards.” He said he believed 7 cents was a good “reference number” for prompt delivery with 25 basis points in either direction. A cathode merchant put the current spot market at 6.75-7.75 cents, net-cash, Midwest — and in some cases up to 8 cents — with variances mostly dependent on freight rates. But he agreed with other sources that there is still very little spot activity, making the 8-cent level a bit ambitious for the time being.