Copper declined, paring the first weekly advance in four, on concern that demand from China may not be able to absorb rising global supplies. Aluminum, lead, zinc, tin and nickel also dropped.
Copper for delivery in three months dropped as much as 0.6 percent to $7,561.50 a metric ton on the London Metal Exchange and was at $7,573 by 2:51 p.m. in Shanghai, paring a weekly gain to 2.2 percent. Metal for delivery in May on the Comex lost 0.5 percent to $3.4155 a pound.
LME inventories climbed to 590,175 tons yesterday, the highest since September 2003, bourse data showed. Chinese imports of unwrought copper and products fell 29 percent to 967,632 tons in the first quarter from a year ago, the customs department said on April 10.
“The technical bounce has run its course,” Xu Liping, an analyst at HNA Topwin Futures Co., said by phone from Shanghai. “This year’s imports will be weaker than last year, which will be more or less interpreted as weakening demand from China.”
Copper for delivery in August on the Shanghai Futures Exchange rose 0.2 percent 54,980 yuan ($8,881) a ton.