Copper edges up, heads for weekly gain as non-US stocks tighten

LONDON: Copper ticked higher on Friday, on course for a small weekly gain as stocks outside the United States tightened, offsetting macro concerns.

Benchmark three-month copper on the London Metal Exchange was up 0.2% at $13,626.50 a metric ton as of 0925 GMT after two sessions of decline. The metal was on course to end the week 0.7% higher after escalation in the Middle East conflict sent oil prices above $100 a barrel and weighed on the global economic growth outlook.

In top metals consumer China, Shanghai Futures Exchange copper inventories fell by 12.9% from last week to 69,610 tons, the lowest since February 2024.

Overall LME copper stocks of 276,775 tons are the lowest since March, but available inventory rose by 5.2% to 113,450 tons after 3,250 tons of reverse cancellations – where metal earmarked to exit the system is put back on warrant – in South Korea and Taiwan.

There were 700 tons of cancellations a day earlier. The re-warranting had cautioned buyers after an earlier series of withdrawal requests, said Sandeep Daga, head of research at Metal Intelligence Centre.

In the U.S., Comex copper stocks rose to a record 639,147 metric tons ahead of a possible import tariff on the metal.

“They’ve got all the copper in the world, but anyone who’s buying that out of the warehouses on a spot basis is paying a lot of money for it,” said SP Angel analyst John Meyer.

The Trump administration on Friday imposed new tariffs of 10% and 12.5% on goods from 60 trading partners over allegations of lax enforcement of forced labour bans, but the expected move had little impact on markets.

Elsewhere, aluminium fell 0.7% to $3,165.50 a ton, zinc was flat at $3,586, lead nudged up 0.1% to $1,895, nickel gained 1.1% to $17,425  and tin added 0.4% to $53,510.