NEW DELHI: Copper prices in London edged higher on Thursday, supported by a softer dollar, although gains were limited due to persisting uncertainty over economic growth from elevated US tariffs.
Benchmark copper on the London Metal Exchange (LME) was up 0.2% at $9,555 a metric ton, as of 0317 GMT.
The dollar weakened against a broad swathe of currencies on Wednesday, pressured by concerns over the Trump administration’s tax cuts and spending plans.
A softer dollar makes greenback-priced commodities less expensive for buyers holding other currencies.
Copper drifts higher on worries about US debt
Last week, the US and China agreed to reduce tit-for-tat tariffs and implement a 90-day pause on actions but there is still uncertainty on what will follow after the temporary truce.
“The copper market faces a split trajectory due to the looming US 25% import tariff, creating stark regional imbalances,” consultancy BigMint said.
“Global prices (LME: $9,500/ton) are caught between rising US stockpiles and tightening supplies elsewhere.”
Among other London metals, aluminium was up 0.6% at $2,486 a ton, zinc was down 0.1% to $2,690, lead eased 0.4% to $1,965.5 and nickel was down 0.04% to $15,595.
Tin eased 0.3% to $32,750. The most-traded copper contract on the Shanghai Futures Exchange (SHFE) eased 0.08% to 78,030 yuan ($10,831.33) per ton.
SHFE aluminium was up 0.4% at 20,250 yuan a ton, zinc eased 0.5% to 22,465 yuan, lead was down 0.7% to 16,765 yuan, nickel edged up 0.05% to 123,420 yuan, and tin fell 0.6% to 265,430 yuan.