Copper ticks down as dollar weighs ahead of China return
CPER•Copper fell 0.16% to $14,397 a metric ton as dollar gains weighed on prices ahead of China’s futures market reopening on October 8.
1. Copper edges lower
Benchmark three-month copper on the London Metal Exchange was down 0.16% at $14,397 a metric ton by 0701 GMT on Tuesday. The Shanghai Futures Exchange was closed for China’s National Day and is scheduled to reopen on October 8, with market participants watching for Chinese buyers’ return.
2. Dollar and demand factors
The dollar’s gains, supported by rising Treasury yields, offset support from strong stock market performance. Analysts from Sucden Financial said renewed physical buying could extend copper’s recovery, while a muted response could leave metals vulnerable to high U.S. yields, dollar strength and further profit-taking. Copper has also benefited from demand expectations tied to AI infrastructure, electric grid upgrades and electric vehicles.
3. Other metals and rates
Aluminium gained 0.24%, while zinc fell 0.19%, lead slipped 0.08%, nickel lost 0.57% and tin added 0.16%. Rate traders were pricing in a 22% chance of a Federal Reserve rate increase at its October meeting, down from 51% a week earlier.
