London copper and most other base metals were little changed in Asian trading on Monday as caution prevailed ahead of the US Federal Reserve’s interest rate decision, policy guidance and economic outlook this week.
Three-month copper on the London Metal Exchange was up 0.1 percent at $8,411.50 per metric ton, while the most-traded October copper contract on the Shanghai Futures Exchange dipped 0.3 percent to 69,430 yuan ($9,529.36) per ton.
“The US Federal Reserve interest rate decision is the key data point for the week for both metals and energy prices,” National Australia Bank analysts said in a note.
With markets expecting another pause at the Sept. 20 Fed policy meeting, analysts said the focus will be on the updated economic and rates projections.
China’s yuan, meanwhile, retreated from a two-week high against the dollar on Monday, after getting a boost on Friday from better-than-expected Chinese data.
Signs that top metals consumer China’s economy was stabilizing had helped the yuan strengthen against the greenback, making dollar-priced metals more attractive for Chinese buyers.
LME aluminum gained 0.1 percent to $2,192 per ton, zinc added 0.3 percent to $2,528.50, nickel was up 0.1 percent at $19,940, while lead edged down 0.1 percent to $2,259. Tin climbed 2.2 percent to $26,265.
In Shanghai, aluminum shed 0.9 percent to 19,170 yuan a ton, zinc dropped 0.6 percent to 21,820 yuan, lead added 1.2 percent to 17,210 yuan, nickel dipped 0.3 percent to 162,250 yuan, while tin climbed 1.9 percent to 222,820 yuan. -Reuters
