Copper prices drifted higher on Tuesday as the dollar rally took a breather, although concerns over China demand and potential US tariffs continued to weigh on the market.
Three-month copper on the London Metal Exchange (LME) rose 0.3% to $9,103.5 per metric ton by 0140 GMT.
The most-traded December copper contract on the Shanghai Futures Exchange (SHFE) gained 0.5% to 74,170 yuan ($10,254.25) a ton.
The US dollar saw a pullback as traders locked in profit after a rally that lifted the currency to a one-year high. A weaker dollar makes greenback-priced metals cheaper for other currency holders.
Meanwhile, top metals consumer China experienced slowing economic growth.
The government has been implementing supportive policies to revive the economy, but these measures have so far failed to boost investor confidence.
US President-elect Donald Trump has pledged to end China’s most-favored-nation trading status and impose tariffs on Chinese imports in excess of 60% - much higher than those imposed during his first term.
Last week, China’s finance ministry said it would reduce or cancel export tax rebates for aluminium and copper products.
Copper edges down on uncertainty
LME aluminium rose 0.3% to $2,616, nickel decreased 0.2% to $15,700, zinc added 0.1% to $2,955, lead was down 0.1% at $1,989 and tin firmed 0.7% at $29,245.
SHFE aluminium eased 0.2% to 20,515 yuan a ton, nickel rose 0.8% to 124,800 yuan, tin advanced 1% to 243,230 yuan, lead was up 0.2% to 16,770 yuan and zinc added 0.9% at 24,680 yuan.
Comments