Copper price falls due to weak data from China and the increase in COVID cases

Copper prices fell on Wednesday, dragged down by a stronger dollar, weak economic data and rising COVID-19 cases in China, the top metals consumer.

Three-month copper on the London Metal Exchange (LME) fell 1.2% to $8,021 a tonne at 10:30 GMT, after rising 2.5% on Tuesday.

China’s factory prices for October fell for the first time since December 2020, as the southern city of Guangzhou resumed mass testing to control the city’s worst COVID-19 outbreak.

A stronger dollar index also weighed on the market, making metals priced in the US currency more expensive for buyers using other currencies.

LME copper stocks hit a new seven-month low on Wednesday, having fallen 44% in the past month.

Among other industrial metals, aluminum fell 1.1% to $2,345 a tonne, zinc fell 1.9% to $2,874, lead lost 0.9% to $2,035.50, nickel fell 0.1% to $23,995. , but tin gained 1.6% to $19,980.

With information from Reuters