BEIJING- Prices of most base metals slipped on Wednesday as a firmer US dollar made the greenback-priced commodity more expensive for buyers, while investors assessed supply outlook for metals.
Three-month copper on the London Metal Exchange was down 1.1 percent at $9,917 per metric ton, reversing previous gains that pushed the contract to a nearly two-year high.
The most-traded June copper contract on the Shanghai Futures Exchange was down 1.5 percent to 79,890 yuan ($11,062.49) a ton.
The dollar was back on the front foot on Wednesday, making modest gains after earlier losses from renewed bets on Federal Reserve rate cuts this year, while the yen eased towards the 155-per-dollar level and kept intervention risks from Tokyo high.
Supply outlook for metals was also on investors’ radar, as raw material shortages of copper have been a key driver behind the recent rally.
Mining giant Freeport-McMoRan is preparing to ship as much as 900,000 tons of copper concentrate starting in June from its Grasberg mine after positive talks with Indonesia to extend its export license, Reuters reported on Tuesday.
LME nickel fell 2.2 percent to $18,840 a ton, tin shed 1.6 percent to $32,075, aluminum slipped 0.9 percent to $2,546.50, and lead moved 0.5 percent lower to $2,232.50, zinc lost 1.4 percent to 2,917.50.
