LONDON: Copper and other industrial metal prices eased on Monday as fears mounted that the spread of the Omicron coronavirus variant would hinder global economic recovery.
The variant first detected last month has so far been reported in at least 89 countries, although the severity of illness it causes remains unclear.
The Netherlands has imposed restrictions to slow its spread, triggering fears that other countries would follow and put the brakes on economic activity.
Copper, which is widely used in infrastructure, is a seen as a gauge of global economic health.
Benchmark copper on the London Metal Exchange (LME) lost 0.2% to $9,409 by 1140 GMT, with liquidity tailing off as the year-end approaches.
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"There is increasing concerns over rising Omicron variant cases especially in Europe," said ING analyst Wenyu Yao, adding that further lockdowns could damage metals demand.
DOLLAR: The US dollar firmed on safe-haven flows, making the greenback-denominated commodity more expensive for those holding other currencies.
US BILL: President Joe Biden's $1.75 trillion domestic investment bill was dealt a potentially fatal blow on Sunday after a key senator said he would not support it.
INVENTORIES: On-warrant copper stocks in LME-registered warehouses fell 550 tonnes to 80,000 tonnes, having climbed from 14,150 tonnes in mid-October.
In warehouses monitored by the Shanghai Futures Exchange, copper stocks are at their lowest since 2009 at 34,580 tonnes.
ALUMINIUM: Global primary aluminium output fell 0.22% year on year in November to 5.497 million tonnes, data from the International Aluminium Institute showed on Monday.
CHINA ALUMINIUM: China's aluminium imports have hit an annual record high this year with a month to spare, customs data showed on Saturday, as restrictions on power usage by domestic smelters underpin demand for overseas metal.
OTHER METALS: LME aluminium slipped 1.7% to $2,2,676 tonne, zinc lost 1.1% to $3,349, lead shed 0.4% to $2,299, tin was up 0.1% to $38,360 while nickel was down 1.9% to $19,286.
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