Copper dipped to its lowest price in almost eight weeks on Monday on weak industrial data from top consumer China.
Three-month copper on the London Metal Exchange fell to USD 9,631 a metric ton for its lowest since April 23. By 1008 GMt it was down 1% at USD 9,643, having lost 14% from the record high hit in May at USD 11,104.50.
“Some copper users returned to buying at the USD 9,600 to USD 9,700 level but many cancelled this morning after Chinese data came out. They are waiting to see if prices will go down further,” a trader said.
Demand prospects for the industrial metal were clouded by the latest data from China, where May industrial output growth slowed to 5.6%, missing a forecast of 6%.
A property market slump, high local government debt and deflation remained top concerns in the world’s second-largest economy.
Copper stocks also grew, pointing to lacklustre demand, with 4,050 tons delivered to LME-registered warehouses, mainly in Asian locations, exchange data showed on Monday.
There was also a major inflow for lead, with 9,600 tons going into Singapore sheds, sending inventories to a four-week high after shrinking by more than a third since April.
Lead was last up 0.3% at USD 2,145 a ton.
In other metals, aluminium was down 0.7% at USD 2,500.50 a ton after China said its aluminium output was close to its highest in 10 years in May.
LME nickel lost 1.3% to USD 17,355 a ton and tin declined 1.3% to USD 31,900 while zinc advanced 1.3% to USD 2,500.50.
(Reporting by Julian Luk in London Editing by David Goodman )
