BEIJING: Copper traded within a tight range on Wednesday as a stronger US dollar offset supply disruptions and investors awaited more clues on the US Federal Reserve’s future policy path.
Three-month copper on the London Metal Exchange was little changed at $8,189 per metric ton by 0408 GMT, while the most-traded December copper contract on the Shanghai Futures Exchange slid 0.4% to 67,370 yuan ($9,263.28) per ton.
The dollar regained its footing on Wednesday and inched higher after a slew of Fed speakers left the door open to further rate hikes, while traders shifted their focus to a speech from Chair Jerome Powell later in the day on the central bank’s future policy path.
A stronger dollar typically weighs down metal prices as it makes it more expensive to buy the greenback-priced commodity. Copper and cobalt produced by companies, including Glencore and CMOC, are stranded in Kolwezi, Democratic Republic of Congo (DRC), due to a truckers strike that started in late October, Reuters reported on Tuesday.
The news sparked fresh concerns of lower African imports in the near-term, a copper smelter said. In China’s spot market, copper premium rallied on low stocks, standing at 335 yuan a ton on Tuesday, close to a two-month high touched in late October.
China’s Oct copper imports jump amid low stocks, solid demand
October refined copper production in the country was below expectations.
The Shanghai Metals Market assessed it at 993,800 ton, down 1.8% from the prior month.
LME aluminium gained 0.4% at $2,273.50 a ton, tin rose 0.7% to $24,730, zinc climbed 0.3% to $2,576, while lead slid 0.5% to $2,178, and nickel lost 0.2% to $17,870.
SHFE aluminium dipped 0.1% to 19,255 yuan a ton, lead shed 0.2% to 16,470 yuan, nickel fell 2.4% to 139,190 yuan, while tin added 0.4% at 209,690 yuan, and zinc ticked 0.1% up to 21,665 yuan.
Comments
Comments are closed.