Copper nudges up, set for weekly gain on China tightness
COPX•Copper rose 0.08% to $14,632 a metric ton on Friday and was set for a 0.76% weekly gain. Lower Chinese inventories and mine disruption supported prices, while a stronger dollar and inflation concerns pared gains.
1. China supply tightness
Three-month copper on the London Metal Exchange rose 0.08% to $14,632 a metric ton by 0300 GMT, marking a 0.76% gain from the previous week's close. Shanghai Futures Exchange copper inventories fell 15.9% from the prior Friday to 47,147 tons. BHP's Escondida mine in Chile suspended operations on Wednesday after a worker was killed in an accident.
2. Other metals and spreads
The LME copper cash-to-three-month spread widened to a $124.75-a-ton backwardation on Thursday from $68.93 a day earlier. Zinc rose 0.59% and was set for a 1.49% weekly gain, with supply concerns intensified by Nyrstar's strategic review of its Dutch zinc smelting operations. Aluminium gained 0.43%, lead dipped 0.08%, nickel lost 0.43% and tin was down 0.04%.
