Copper prices declined on Monday as a firm dollar made greenback-priced metals more expensive to holders of other currencies.
Three-month copper on the London Metal Exchange fell 0.3% to $8,955 a tonne by 0342 GMT and the most-traded March copper contract on the Shanghai Futures Exchange declined 0.9% to 68,220 yuan ($10,062.69) a tonne.
The dollar touched a near four-week high against a basket of currency after a strong U.S. jobs report on Friday suggested the Federal Reserve could stay hawkish with its monetary policy for longer.
Metals prices are also pressured by doubts over China’s pace of recovery after the country removed COVID-19 restrictions. Bets on a strong recovery in Chinese demand have boosted metals prices for most of January.
However, the threat of supply disruptions prevented copper prices from a steeper fall.
Production disruptions in the major copper-producing regions of Latin America and Africa have raised the stakes for a tighter market this year, but analysts say it is too soon to downgrade forecasts for global supplies.
Copper prices fall on stronger dollar
LME aluminium shed 0.4% to $2,560 a tonne, tin dropped 2.8% to $27,580 a tonne, zinc decreased 1.1% to $3,204.50 a tonne, while lead rose 1.2% to $2,124.50 a tonne.
SHFE aluminium declined 1.1% to 18,855 yuan a tonne, nickel dropped 4.7% to 211,110 yuan a tonne, tin fell 5.2% to 217,800 yuan a tonne, zinc decreased 3.4% to 23,360 yuan a tonne and lead eased 0.3% to 15,270 yuan a tonne.
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