Nickel headed for the longest run of weekly declines since October and industrial metals fell after swings in China’s equity market roiled commodities.
On the London Metal Exchange, nickel for delivery in three months fell 2 percent to $11,265 a metric ton at 3:40 p.m. This week, the metal has dropped 6.1 percent, the fifth straight decline.
The Shanghai Composite rose for the second straight day after a rout that wiped out $3.9 trillion in less than a month. Through Thursday, nickel dropped 24 percent this year amid signs of ebbing demand in China, the world’s top consumer of industrial metals. Greece submitted a proposal seeking a bailout, which euro-area officials will examine in Brussels on Friday.
“The market is in a wait-and-see mode because the next few days are critical for Greece and for China,” Robin Bhar, an analyst at Societe Generale SA in London, said in a telephone interview. “Is it the lull before the next storm? Who knows?”
On Thursday, nickel’s 30-day historical volatility rose to the highest since 2011. On that day, the metal posted the biggest two-day rally since 2012 after slumping 9 percent on Tuesday.
Copper in London fell 0.9 percent to $5,578.50 a ton ($2.53 a pound). Tin, aluminum, lead and zinc dropped.
On the Comex in New York, copper futures for September delivery declined 0.8 percent to $2.532 a pound.
— With assistance by Agnieszka De Sousa