On Monday, copper prices failed to gain traction as global supply concerns offset demand uncertainty caused by growth slowdown concerns. And China’s stance on Covid-19 restrictions.
On the Comex market in New York, copper for December delivery fell 0.05% to $3.42 per pound ($7,524 per metric ton).
In the Shanghai Futures Exchange, its most-traded November copper contract rose 0.5% to 63,280 yuan ($8,797.32) per tonne.
Chile’s total copper output, the world’s largest copper manufacturer, dropped 10.2% in August to 415,500 metric tons.
Uncertainty about demand persists in China. Chinese President Xi Jinping reaffirmed the country’s covid-19 stance all through his speech. There at Communist Party Congress on Sunday, defying market expectations that such curbs would be eased.
Xi also stated that caution would guide China’s efforts to limit. And eventually eliminate its carbon emissions in a two-hour speech to open the week-long Communist Party Congress.
UBS Investment Bank Research stated in a note that it did not anticipate any immediate changes to the current COVID-19 regulation. And that it anticipated considerable easing of limitations following the National People’s Congress in March 2023.
Amid rising warehouse stockpiles at the London Metal Exchange (LME) and concerns of unwelcome Russian metal entering the LME system, aluminium prices fell as well on Tuesday, according to traders.
At 1400 GMT, benchmark aluminium on the LME dropped 1.7% at $2,207 a tonne.