AVN 67.40 Increased By ▲ 0.30 (0.45%)
BAFL 30.92 Decreased By ▼ -0.08 (-0.26%)
BOP 4.93 Increased By ▲ 0.03 (0.61%)
CNERGY 3.78 No Change ▼ 0.00 (0%)
DFML 14.54 Increased By ▲ 0.11 (0.76%)
DGKC 42.30 Increased By ▲ 0.45 (1.08%)
EPCL 46.15 Decreased By ▼ -0.42 (-0.9%)
FCCL 11.87 Increased By ▲ 0.18 (1.54%)
FFL 5.22 Increased By ▲ 0.15 (2.96%)
FLYNG 5.90 Increased By ▲ 0.10 (1.72%)
GGL 10.57 Increased By ▲ 0.15 (1.44%)
HUBC 69.47 Increased By ▲ 1.47 (2.16%)
HUMNL 5.76 No Change ▼ 0.00 (0%)
KAPCO 28.31 Increased By ▲ 0.21 (0.75%)
KEL 2.29 No Change ▼ 0.00 (0%)
LOTCHEM 25.26 Increased By ▲ 0.21 (0.84%)
MLCF 21.95 Increased By ▲ 0.26 (1.2%)
NETSOL 86.85 Increased By ▲ 0.85 (0.99%)
OGDC 99.30 Increased By ▲ 6.92 (7.49%)
PAEL 11.17 Increased By ▲ 0.08 (0.72%)
PIBTL 4.29 Increased By ▲ 0.05 (1.18%)
PPL 84.85 Increased By ▲ 4.70 (5.86%)
PRL 13.68 Increased By ▲ 0.04 (0.29%)
SILK 0.95 Increased By ▲ 0.05 (5.56%)
SNGP 45.96 Increased By ▲ 2.49 (5.73%)
TELE 6.00 Increased By ▲ 0.04 (0.67%)
TPLP 15.99 Increased By ▲ 0.26 (1.65%)
TRG 116.20 Increased By ▲ 1.19 (1.03%)
UNITY 14.18 Increased By ▲ 0.33 (2.38%)
WTL 1.18 Increased By ▲ 0.02 (1.72%)
BR100 4,181 Increased By 56.6 (1.37%)
BR30 15,358 Increased By 428.4 (2.87%)
KSE100 41,748 Increased By 557.2 (1.35%)
KSE30 15,734 Increased By 239.9 (1.55%)
Markets

Copper slips as Fed maintains taper timeline

  • Benchmark three-month copper on LME was down 1.6% at $9,303 by 1100 GMT.
Published July 8, 2021
Follow us

LONDON: Copper prices dipped on Thursday after the U.S. Federal Reserve confirmed plans to tighten monetary policy sooner than expected.

The Fed's plans, which would reduce liquidity in the market, has helped to drag back copper prices from the $10,747.50 a tonne record high touched in May.

Benchmark three-month copper on the London Metal Exchange (LME) was down 1.6% at $9,303 by 1100 GMT.

The Fed's switch to a more hawkish stance was signalled at the its June policy meeting, pushing the dollar higher and making assets priced in the greenback more expensive for holders of other currencies.

Copper slips from three-week high as dollar strengthens

"The (Fed's minutes) saw a continuation of the sell-off that started June 16 when the Fed surprisingly sent hawkish signals by bringing forward rate hike projections," said ING analyst Wenyu Yao.

"Over the last two weeks the macro market is seeing a capitulation of reflation trade ... that is giving a lot of pressure to metals, especially copper."

China raised expectations that it could ease monetary policy to support its economy, which Saxo Bank analyst Ole Hansen said was interpreted by the market as sign of weakness in the world's top metals consumer.

INVENTORIES: Total stocks in LME-registered warehouses are at their highest in more than a year at 212,575 tonnes.

The LME cash contract is at a $33 a tonne discount to the three-month price, pointing to plentiful supply.

ALUMINIUM: Plans by Russia to impose taxes on exports of aluminium, widely used in transport and packaging, have fuelled a surge in spot market costs for consumers in Europe and the United States.

OTHER PRICES: LME aluminium fell 1.9% to $2,453 a tonne, zinc dropped 1.9% to $2,927, lead shed 1% to $2,268, tin was down 0.4% at $31,580 and nickel gave up 0.4% to $18,230.

Comments

Comments are closed.

Copper slips as Fed maintains taper timeline

Policy-level talks with IMF begin today

NA clears Trade Dispute Resolution Bill, 2022

Imran optimistic about prospects of ‘jail bharo’ protest

APC will now be held on 9th

Cases in Karachi, Lasbela: IHC asks police not to take action against Rashid

Govt decides to enhance capacity of NEECA

Huge earthquake kills 2,700 in Türkiye, Syria

High-income earners directed to pay 50pc of super tax liability

IR officials deputed at 33 sugar mills in Punjab

Cross-border trade: FBR issues PSW (Evidence of Identity) Regulations