BEIJING- London copper prices slipped on Monday, as China’s inflation data missed expectations and exacerbated demand worries, although risks over global supply lent some support.
Three-month copper on the London Metal Exchange dipped 0.1 percent to $8,364 per metric ton, following a marginal weekly gain.
China’s factory gate deflation deepened in June while consumer prices were unchanged, data showed, as a faltering post-COVID recovery weighed on demand.
The dollar index ticked up as investors mulled on how much further the Federal Reserve would need to raise interest rates following a miss in US jobs data last week.
The most-traded August copper contract on the Shanghai Futures Exchange added 0.3 percent to 67,940 yuan ($9,402.16) per metric ton.
Investors also weighed possible lasting disruptions over copper supplies amid low inventories. The metal used widely in power, construction and transportation sectors.
Chile, the world’s top copper producer, saw its production fall 14 percent on-year in May.
Copper miners in Peru, the world’s No.2 copper producer already battling political uncertainty and regular protests, say they have another hurdle to revving up stalled production of the red metal: too much red tape. – Reuters
