London copper steadied on Monday, above last week’s near two-month lows, as traders built up stocks on fresh signs of economic recovery in the US and a view that the sell-off after weak Chinese data was too heavy.
A recovery in copper prices that began in mid-March ran out of steam over summer, with prices seen capped as mines ramp up shipments to year-end. Suspected metals fraud in China has also cut access to credit, curbing demand from the top metals user.
Dropping 0.9 percent, the Japanese copper cash price was the biggest mover on Friday, August 15, closing at JPY 740,000 ($7,219) per metric ton. The price of US copper producer grade 110 saw a 0.5 percent decline to $3.79 per pound. The price of US copper producer grade 122 weakened by 0.5 percent, settling at $3.79 per pound. The price of US copper producer grade 102 fell 0.5 percent to $3.98 per pound.
Chinese copper closed mixed last Friday. Chinese copper bar prices saw a 0.3 percent decline to CNY 50,200 ($8,159) per metric ton. The Chinese copper cash price saw a 0.3 percent decline to CNY 50,400 ($8,191) per metric ton. The price of Chinese copper wire remained essentially flat at CNY 50,395 ($8,190) per metric ton. The price of Chinese bright copper scrap saw little movement at CNY 44,300 ($7,200) per metric ton.
On the LME, the 3-month price of copper declined 0.6 percent to $6,873 per metric ton. The primary copper cash price saw a 0.6 percent decline on the LME to $6,886 per metric ton.