Copper steadied as investors focused on potential supply shifts during a Chinese national holiday that was set to dampen trading volumes. Contracts on the London Metal Exchange rose slightly on Thursday, trimming a minor drop in the prior session. Prices have slipped this week after data from China showed weak earnings from the industrial sector.
Traders are now gauging the outlook for supply. Production from Chile may be impacted by a strike at a site owned by Antofagasta Plc, while Panama's government proposed resuming output from a giant mine in the country. Spot prices for copper have shifted back to a premium over three-month futures, a configuration known as backwardation that indicates tight supply.
Copper added 0.1% on the London Metal Exchange to $14,421 a ton at 9:56 a.m. Singapore time. Other metals were mixed, with aluminum falling 0.5%. Iron ore declined 0.7% to $92.80 a ton in Singapore. The Dalian Commodity Exchange was closed for a public holiday.
Source: Bloomberg Markets · Summarized by HeadlinesBriefing