Copper closed slightly higher on Thursday but ended the first quarter of 2011 with a 2.4 percent quarterly loss, its first such decline since the second quarter of 2010, as concerns about softer Chinese demand and rising warehouse stocks weighed on sentiment.
Traders cited book squaring and the weak dollar for Thursday's higher close. For the quarter, copper diverged from the broader base metals complex, with tin rallying 18.3 percent, aluminium up 7.2 percent, and lead and nickel each about 5 percent firmer.
Copper prices are off more than 7 percent from their record highs hit last month at $10,190 per tonne in London and $4.6575 per lb in New York. With sustained softness in Chinese buying and a buildup in London warehouse stocks, prices are expected to remain weak in the near-term.
London Metal Exchange (LME) copper for three-months delivery rose $49 for the day to end at $9,430 a tonne. For the quarter, that was down 2.4 percent from the final three months of 2010, its first quarterly loss since June. COMEX May copper settled up 3.35 cents at $4.3075 per lb. It finished the quarter down 3 percent.
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