Optimism continued to grow among copper market participants in the United States over the outlook for the domestic copper cathode premium following a key industry meeting this past week, with many attendees predicting a higher premium for next year.
Elsewhere, Shanghai copper premiums continued to soften while the Chinese market contends with a closed import arbitrage window, while a backwardation in London Metal Exchange forward spreads combined with year-end book squaring to pressure copper premiums in Rotterdam lower. US participants see good demand for 2019. Shanghai market continues downward trend. Premiums softer in Rotterdam; steady elsewhere in EuropeUS participants excited for 2019Copper market participants in the US returned from the American Copper Council's autumn meeting optimistic that a higher cathode premium is likely for 2019 due to multiple reports of rising demand and a market deficit."Everyone seemed to be optimistic about 2019 business... Everyone seems to be expecting higher premiums to cover freight increases, higher interest rates, etc," one US-based trader said."Some numbers were thrown out that were well above what was expected so we have to see where that all shakes out," this trader...