Shanghai copper climbs

06 Sep, 2014

The most-traded November copper contract on the Shanghai Futures Exchange climbed 0.3 percent in overnight trade to 49,650 yuan ($8,084) a tonne on Friday. "One of the downside risks in the metals market was the slowdown in Europe, so these actions go some way to at least confirm the issue is being addressed - it's certainly supportive for metals," said analyst Mark Keenan at Societe Generale in Singapore.
But copper's fortunes have been overshadowed by mounting supply, after Indonesian producers resumed shipments that had been halted since January over a tax and regulatory disagreement. China's Tsingshan Group expects to start production at its Indonesian nickel pig iron smelter as soon as January, becoming the second plant to ramp up since the country's new mineral processing laws came into force at the start of the year.

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