Copper Drops After China Exports, Imports Fall Unexpectedly
Copper dropped for a second day after China’s exports and imports both unexpectedly declined, fueling concern that slowing economic growth will hurt metals demand in the world’s largest user.
Copper for delivery in three months on the London Metal Exchange lost 0.4 percent to $6,704.75 a metric ton at 10:57 a.m. in Shanghai. The price slipped to $6,671.75 yesterday, the lowest since June 28. Zinc fell 0.5 percent to $1,859 a ton.
Overseas shipments fell 3.1 percent from a year earlier, the General Administration of Customs said today. This compared with the median estimate of a 3.7 percent gain in a Bloomberg News survey. Imports declined 0.7 percent after a 0.3 percent drop in May.
“The pessimism brought by China’s overall trade data overshadowed positive implications from a rebound in copper imports,” said Xu Liping, an analyst at HNA Topwin Futures Co. “Concerns over China’s macro economy will persist.”
Unwrought copper and copper products imports by China were 379,951 tons in June, the customs agency said today in a statement on its website. That compared with 358,672 tons in May and 346,223 tons a year ago.
Copper for delivery in November on the Shanghai Futures Exchange fell 1.5 percent to 48,200 yuan ($7,858) a ton. Metal for delivery in September on the Comex lost 0.8 percent to $3.0405 a pound.
On the LME, aluminum, tin and lead were little changed while nickel gained.
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