Copper prices declined on Friday as a strong dollar made greenback-priced metals more expensive to holders of other currencies.
Three-month copper on the London Metal Exchange fell 0.1% to $8,355 per metric ton by 0344 GMT, while the most-traded October copper contract on the Shanghai Futures Exchange shed 0.5% to 68,780 yuan ($9,438.08) a ton.
The US dollar rose to its highest in more than two months and was on course for its sixth straight week of gains as markets awaited a speech from US Federal Reserve Chair Jerome Powell to gauge the country’s monetary policy path.
SHFE aluminium fell 0.2% to 18,635 yuan, nickel eased 0.1% to 169,230 yuan, lead declined 0.5% to 16,370 yuan, tin lost 1% to 215,640 yuan while zinc rose 0.6% to 20,535 yuan.
LME zinc fell 0.7% to $2,378 a ton, lead declined 0.6% to $2,170.50, tin lost 0.7% to $25,700, while aluminium rose 0.1% to $2,159 and nickel advanced 0.4% to $20,915.
On a weekly basis, both copper contracts are set to gain on China’s efforts to stabilise the yuan and on hopes of improving demand ahead of a peak consumption season.
LME copper is on track for its best weekly increase in a month.
However, poor economic data from China continued to pressure the demand outlook and prices. SHFE tin was set for its best week since July 7.
Despite weak demand, supply pressure is rising after Myanmar banned ore mining from August.
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