SINGAPORE: London copper prices held steady as investors weighed a weaker U.S. currency and renewed concerns over the possible tariffs on the metal against support from declining inventories.
Three-month copper on the London Metal Exchange shed 0.29% to $9,589 per metric ton as of 0105 GMT.
The dollar index, which measures the U.S. currency against six major peers, fell to the lowest since late April.
A softer dollar makes greenback-denominated assets more affordable to holders of other currencies.
Meanwhile, on Friday, U.S. President Donald Trump announced his plans to double the import tariffs on aluminum and steel to 50% effective Wednesday, renewing concerns about potential copper tariffs.
“U.S. trade officials are currently reviewing the impact of U.S. copper imports on the local industry, with a report due in the next few weeks,” ANZ Research said.
“Copper is also finding support from improving fundamentals.”
US copper futures surge as tariff fears loom
On Monday, copper stocks in the LME-registered warehouses dropped 45% since mid-February to 148,450 tons, the lowest in almost a year.
Among the other London metals, LME aluminium fell 0.36% to $2,457 a ton, zinc slipped 0.43% to $2,686.5, lead dipped 0.63% to $1,968.5 and nickel shed 0.75% to $15,420. Tin added 0.2% to $30,770.
The most-traded copper contract on the Shanghai Futures Exchange (SHFE) gained 0.51% to 78,150 yuan ($10,855.52) per ton.
SHFE aluminium held flat at 20,085 yuan a ton, lead gained 0.1% to 16,635 yuan, nickel rose 0.47% to 121,650 yuan, zinc advanced 0.63% to 22,425 yuan, while tin fell 0.55% to 251,520 yuan.