Copper up on supply woes but dollar drives worst week since April
CPER•Copper rose 0.32% to $14,289 a metric ton on Friday, but was down 2.28% for the week, its steepest weekly decline since April. Supply concerns supported prices, while a stronger U.S. dollar weighed on the metal.
1. Supply concerns support copper
Benchmark three-month copper on the London Metal Exchange rose 0.32% to $14,289 a metric ton by 0300 GMT on Friday, recovering some recent losses. Chilean copper output fell 12.8% year on year in August, and supervisors at Escondida rejected a contract offer, raising the possibility of a strike. Copper stocks in warehouses monitored by the Shanghai Futures Exchange fell to 38,744 tons, their lowest since January 2024.
2. Dollar weighs on weekly performance
Despite supply concerns, copper was down 2.28% from the end of the previous week. The U.S. dollar reached a 17-month high amid a global bond market selloff driven by worries over persistent inflation and high government debt. The Shanghai Futures Exchange was closed for China's National Day and was scheduled to reopen on October 8.
