Copper climbs on softer dollar after weak US jobs data, tight supply
CPER•Copper rose 0.9% to $14,374.50 a metric ton, supported by a softer dollar after weaker-than-expected US jobs data and supply concerns. Shanghai exchange warehouse stocks fell 79% over four months to 38,744 tons.
1. Copper gains
Benchmark three-month copper on the London Metal Exchange rose 0.9% to $14,374.50 a metric ton by 1405 GMT, though it was down about 2% since the end of the previous week. A softer dollar after September US jobs growth slowed more than expected supported prices, as traders reduced bets on further US rate hikes.
2. Supply concerns
LME copper has gained 16% over six months, largely as inventories shifted to the United States amid the prospect of tariffs, creating shortages elsewhere. Shanghai Futures Exchange-monitored warehouse stocks dropped 79% over four months to 38,744 tons, their lowest since January 2024. Chilean copper production fell 12.8% year-on-year in August, and supervisors at the Escondida mine rejected a collective contract offer, raising the prospect of a strike.
