LONDON: Copper dipped to its lowest price in almost eight weeks on Monday on weak industrial data from top consumer China.
Three-month copper on the London Metal Exchange fell to $9,631 a metric ton for its lowest since April 23. By 1008 GMt it was down 1% at $9,643, having lost 14% from the record high hit in May at $11,104.50.
“Some copper users returned to buying at the $9,600 to $9,700 level but many cancelled this morning after Chinese data came out. They are waiting to see if prices will go down further,” a trader said.
Demand prospects for the industrial metal were clouded by the latest data from China, where May industrial output growth slowed to 5.6%, missing a forecast of 6%.
A property market slump, high local government debt and deflation remained top concerns in the world’s second-largest economy.
Copper stocks also grew, pointing to lacklustre demand, with 4,050 tons delivered to LME-registered warehouses, mainly in Asian locations, exchange data showed on Monday.
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There was also a major inflow for lead, with 9,600 tons going into Singapore sheds, sending inventories to a four-week high after shrinking by more than a third since April.
Lead was last up 0.3% at $2,145 a ton.
In other metals, aluminium was down 0.7% at $2,500.50 a ton after China said its aluminium output was close to its highest in 10 years in May.
LME nickel lost 1.3% to $17,355 a ton and tin declined 1.3% to $31,900 while zinc advanced 1.3% to $2,500.50.
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