BEIJING- Copper prices in London slipped on Wednesday after data showed a lower-than-expected China exports in May, while a weaker dollar and hopes of more stimulus to bolster economic growth in China lent some support.
Three-month copper on the London Metal Exchange dipped 0.2 percent to $8,325.50 a ton and the most-traded July copper contract on the Shanghai Futures Exchange was up 0.3 percent to 66,680 yuan ($9,367.01) a ton.
China’s exports fell more than expected in May year-on-year, while imports contracted at a slower pace, customs data showed on Wednesday
The year’s first five months saw China’s imports of unwrought copper and copper products fall 11 percent to 2.14 million tons, customs data showed.
The drop in imports partly contributed to a tight market as demand improved after buyers benefitted from the recent fall in prices.
Market participants expected to see a less tightened market this month, with some large-sized smelters resuming production after maintenance.
Analysts at CITIC Futures pointed out a 70,000 tons supply gap in the refined copper market last month.
The tight supply is seen easing on rising copper ore and concentrate stocks at ports, analysts at Guotai Junan said.
Aiding the sentiment was hopes for more stimulus in the property sector, propelling demand outlook as construction is the main consumer for most industrial metals.
