Nov 24 (Reuters) – Copper inched lower on Wednesday as a robust dollar weighed on prices, with volumes expected to be low heading into the U.S. Thanksgiving holiday.
Three-month copper on the London Metal Exchange CMCU3 was down 0.2% at $9,687.50 a tonne by 0308 GMT, having eased from a near one-month high touched on Tuesday.
The most-traded January copper contract on the Shanghai Futures Exchange SCFcv1 eased 0.2% to 70,850 yuan ($11,087.64) a tonne.
The dollar index =USD was steady after hitting a more than 16-month peak on Tuesday as Federal Reserve Chair Jerome Powell was nominated for a second term, fuelling expectations of sooner interest-rate hikes. USD/
A firmer dollar makes commodities priced in the U.S. currency more expensive for buyers using other currencies.
On-warrant LME copper inventories MCUSTX-TOTAL edged up slightly to 62,775 tonnes – the highest in more than six weeks, while cash premium over the three-month contract MCU0-3 eased to $94.50 a tonne, indicating that the tightness in nearby supplies has eased.
FUNDAMENTALS
* China’s Zijin Mining 601899.SS, 2899.HK said on Tuesday its board approved investment in a $769 million smelter for its Kamoa-Kakula copper project alongside Ivanhoe Mines IVN.TO in the Democratic Republic of Congo (DRC).
* ShFE aluminium SAFcv1 edged 0.3% lower to 19,130 yuan a tonne, nickel SNIcv1 rose 0.4% to 151,900 yuan a tonne and zinc SZNcv1 fell 0.3% to 23,550 yuan a tonne.
* LME aluminium CMAL3 was up 0.1% at $2,671 a tonne, nickel CMNI3 rose 0.3% to $20,400 a tonne and lead CMPB3 gained 1% to $2,276 a tonne.
* For the top stories in metals and other news, click TOP/MTL or MET/L
MARKETS NEWS
* Share markets were jittery in early Asia as trading was buffeted by a step-up in U.S. Treasury yields as well as volatile oil prices in the face of price-cooling moves by the United States and other nations. MKTS/GLOB
DATA/EVENTS (GMT)
0745 France Business Climate Mfg Nov
0900 Germany Ifo Business Climate New Nov
0900 Germany Ifo Curr Conditions New Nov
0900 Germany Ifo Expectations New Nov
1330 US Durable Goods Oct
1330 US GDP 2nd Estimate Q3
1330 US Initial Jobless Clm Weekly
1330 US Consumption Adjusted MM Oct
1500 US U Mich Sentiment Final Nov
1500 US New Home Sales-Units Oct
1900 US Federal Open Market Committee will
release the minutes from its November 2-3 policy meeting
($1 = 6.3900 Chinese yuan)
(Reporting by Eileen Soreng in Bengaluru; editing by Uttaresh.V)
(([email protected]; Within U.S. +1 646 223 8780, Outside U.S. +91 80 6749 6131; Reuters Messaging: [email protected]))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
www.nasdaq.com