SHANGHAI: Copper prices on the London Metals Exchange (LME) retreated from a five-month high on Wednesday, with markets watching out for potential US tariffs on copper.
Benchmark three-month copper on the LME slid from a five-month high and fell 0.1% to $9,894.5 a metric ton as of 0214 GMT.
US President Donald Trump had previously ordered a probe into possible new tariffs on copper, inflating the premium of Comex copper over the LME contract, which was at a record high of $1,192 a ton on Tuesday.
“Trump’s potential tariff on copper is what we are watching closely now and the premium of Comex copper over LME copper continues to broaden, with the market speculating about a potential 25% tariff on copper by Trump,” a trader said.
Meanwhile, the head of Russian metals and mining giant Nornickel, Vladimir Potanin, said on Tuesday that he expects updates on a Chinese copper-producing joint venture in the coming months.
Nornickel is in talks for a joint venture in China, with potential investments in early financial plans for 2025-2026.
LME aluminium fell 0.2% to $2,649.5 a ton, lead slid 0.1% to $2,093, zinc lost 0.4% to $2,952 and tin shed 0.1% to $35,190.
US copper hits 10-month peak on speculation over Trump tariffs
Nickel gained 0.5% to $16,325.
SHFE copper climbed 0.4% to 80,660 yuan a ton, SHFE aluminium dropped 0.9% to 20,640 yuan a ton, zinc slid 0.4% to 23,855 yuan, lead lost 0.1% to 17,615 yuan and nickel lost 0.2% to 130,520 yuan. Tin added 0.1% to 280,830 yuan.
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