SHANGHAI- Most base metals declined in rangebound trade on Thursday amid a lack of clarity around US President Donald Trump’s policy plans, which investors fear could trigger trade wars.
The three-month copper on the London Metal Exchange (LME) slid 0.6 percent to $9,167 a metric ton.
The most-active copper contract on the SHFE slid 0.7 percent to 75,030 yuan ($10,317.49) a ton bythecloseofAsia morning trade.
Metals prices began trending lower after Trump said his administration was discussing imposing a 10 percent tariff on imports from China starting Feb. 1, the same day that he previously said Mexico and Canada would face levies of around 25 percent. He also vowed duties on European imports, without providing further details.
The US President has also threatened “high levels of taxes, tariffs and sanctions on anything being sold by Russia to the United States and various other participating countries” if a deal to end the war in Ukraine is not reached soon.
The US dollar dipped to a more than three-week low earlier in the session, making greenback-priced commodities less expensive for holders of other currencies.
The dollar index was last at 108.3, below the 26-month high of 110.17 touched last week.
“We are taking a wait-and-see stance nowadays as we are not sure what kind of policies Trump might impose,” a trader said.