NEW DELHI- London copper prices edged lower on Tuesday, pressured by a stronger dollar and concerns over metal demand following US President Donald Trump’s tariff plans.
Three-month copper on the London Metal Exchange (LME) was down 0.3 percent at $9,464 a metric ton.
The dollar strengthened, after falling to its lowest point in more than two months at the start of the week, buoyed by safe-haven flows after Trump said tariffs on Mexico and Canada would proceed as planned.
A stronger dollar makes commodities priced in US currency more expensive for buyers using other currencies.
Trump said that tariffs on Canadian and Mexican imports are “on time and on schedule,” despite the efforts by both countries to strengthen border security and curb the flow of fentanyl into the US ahead of the March 4 deadline.
“Looking ahead, markets will continue to navigate an increasingly complex geopolitical and macroeconomic landscape,” Benchmark Mineral Intelligence said in a note.
“Separately, the markets will closely monitor any developments ahead of the implementation of 25 percent tariffs on Canada and Mexico from March 5. Meanwhile, China’s Two Sessions policymakers’ meeting are set to kick off next week, which could shine a light on China’s stimulus policy pathway and response to Trump’s trade policy,” it said.
Among other metals, LME aluminum dropped 0.8 percent to $2,635.5, LME zinc shed 0.5 percent at $2,837, nickel lost 0.3 percent to $15,395, tin fell 0.3 percent to $33,145 and lead gained 0.1 percent to $1,989.5. SHFE aluminum eased 1.2 percent to 20,480 yuan ($2,822.03) a ton, SHFE copper fell 0.3 percent at77,000 yuan, zinc slid 1.7 percent to 23,610 yuan, nickel dipped 0.7 percent to 124,510 yuan, lead gained 0.3 percent to 17,155 yuan, while tin eased 0.9 percent to 263,260 yuan.
