Copper slips below $6.55 amid softer China demand
Copper futures fall below $6.55 per pound to an over one-week low as elevated prices weaken demand in China and the Yangshan premium eases to $96/ton from $115/ton last month.
Copper futures fell below $6.55 per pound on Thursday, reaching an over one-week low as elevated prices weakened demand and discouraged buyers in top consumer China.
The Yangshan premium, which reflects the premium paid above the benchmark LME copper price for refined copper imported into China, declined to $96 per ton after reaching $115 a ton last month.
However, concerns over tightening supply continued to underpin prices amid expectations for constrained global mine output.
Chilean state-owned miner Codelco reportedly expects lower copper production this year as it faces setbacks at its mines and development projects.
The company has abandoned its previous target of producing 1.34 million metric tons this year, compared with last year’s revised output of 1.307 million tons.
Traders also remained cautious about potential US import tariffs on copper, which have continued to divert metal away from international markets and into US warehouses.