Copper prices in London flitted in a tight range on Thursday, as concerns of potential shortages resulting from lower inventories partially offset a firmer US dollar.
Three-month copper on the London Metal Exchange he;d its ground at $7,425 a ton, while the most-traded November copper contract on the Shanghai Futures Exchange rose 1.3 percent to 60,970 yuan ($8,472.64) a ton.
China’s bonded warehouse copper inventories were at their lowest on record of 81,800 tons. ShFE copper stocks were down 78 percent since March, while COMEX copper inventories dropped to their lowest since July 2021.
However, there have been some deliveries into LME copper warehouses.
The dollar edged higher and head back in the direction of Wednesday’s 20-year high, making the greenback-priced metal more expensive for overseas buyers.
The overall outlook for metals demand globally remained grim, as central banks around the world tightened their monetary policy to curb rising inflation.
LME zinc rose 1.9 percent to $2,907 a ton, tin advanced 1.5 percent to $21,030 a ton and aluminum increased 0.7 percent to $2,138 a ton. – Reuters
