Copper inches higher on weaker dollar, tight Chinese supplies
CPER•Copper rose 0.1% to $14,634 a metric ton as a weaker dollar and tight Chinese supplies supported prices, while investors remained wary of further interest-rate hikes.
1. Copper edges higher
Benchmark three-month copper on the London Metal Exchange rose 0.1% to $14,634 a metric ton by 1600 GMT on Friday. A weaker dollar and shortages in China supported prices, though gains were modest as investors weighed the possibility of more rate hikes.
2. Chinese supply tightens
Visible inventories in China have fallen, while smelters have announced reduced production schedules for maintenance, said David Wilson, head of metals strategy at BNP Paribas. LME copper has gained 10% over the past three months as speculation about potential U.S. tariffs drew large flows of metal to the exchange, creating shortages elsewhere.
3. Other metals mixed
LME zinc fell 1.4% to $3,898 a ton after reaching a two-week high, while its cash premium over the three-month contract rose to $106 a ton on Thursday from $65.35 a day earlier. Aluminium gained 0.7%, tin rose 0.9%, lead fell 0.2% and nickel shed 0.9%.
