Copper price up on lower-than-expected inflation in China
Copper price up on lower-than-expected inflation in China
12 September, 2022by
Administrator
The copper price rose on Friday supported by a weaker dollar and lower-than-expected
inflation numbers from China.
Copper for delivery in December rose 2.8% from
Thursday’s settlement price, touching $3.62 per pound ($7,964 per tonne).
The most-traded October copper contract on the Shanghai Futures Exchange advanced
3.2% to 62,900 yuan ($9,069.41) a tonne.
The dollar took a breather from its surging rally, making greenback-priced metals cheaper
to holders of other currencies.
China’s consumer prices rose at a slower-than-expected pace in August amid heatwaves
and covid-19 flare-ups, while producer inflation hit an 18-month low.
The orange metal prices are also supported by a tight immediate supply. The premium of
cash copper on the LME over the three-month contract ended at $108.50 a tonne on
Thursday, its highest since November 2021.
Copper demand in China has improved since last month, CRU analyst He Tianyu said,
adding that consumption of the metal is expected to be stronger in the fourth quarter.