SINGAPORE- Copper prices edged down due to some profit taking and caution by investors after a recent rally, boosted by an interim Sino-US trade deal and hopes of improving demand in top consumer China.
Benchmark three-month copper on the London Metal Exchange (LME) fell 0.1 percent to $6,170 a ton, having gained in eight out of the last 11 sessions. The contract hit its highest in seven months on Tuesday.
The most traded copper contract on the Shanghai Futures Exchange (ShFE) dipped 0.2 percent to 49,020 yuan ($6,964.16) a ton.
China’s factory activity showed surprising signs of improvement in November, while the United States and China reached an preliminary agreement to resolve their 17-month-long trade war that hurt global economic growth and metals demand.
However, both outlook for further trade negotiations and China’s longer-term economic performance remained uncertain, capping further gains in copper prices. – Reuters