Copper prices are trade under sideways in early Asian trade, with the tone of the session likely to be set by newly released China CPI and PPI figures, which should provide cues on the country’s economic growth. While the price of base metal is likely to remain under pressure if macroeconomic headwinds persist, any shift in sentiment could lead to gains for industrial commodities, say GSR (GoldSilverReports) analysts in a note. The three-month forward LME copper contract is flat at $8,347 a ton. (GoldSilverReports.com)
Copper Prices Trade Under Sideways; China Data in Focus
Most base metal prices fell on Thursday as Canada’s interest rate hike fuelled fears of hawkish central banks, while investors and traders cautiously awaited China’s stimulus measures.
Copper prices rose on Thursday after data showing a surge in U.S. weekly jobless claims led the dollar to extend losses, making dollar-denominated metals more attractive to holders of other currencies.
“Sentiment towards copper remains mixed: the dollar strength and China growth concerns remain, but LME copper inventories have started to decline, accompanied by a surge in cancelled warrants,” Standard Chartered analyst Sudakshina Unnikrishnan said.
Three-month copper (तांबा) on the London Metal Exchange (लंदन मेटल एक्सचेंज) copper fell 0.9% to $8,300 per metric ton, while the most-traded July copper contract on the Shanghai Futures Exchange copper eased 0.1% to 66,800 yuan ($9,353.65) per metric ton.