The price of copper fell to a minimum in five weeks

Prices for most non-ferrous metals declined on Monday, with the value of copper on the London Metal Exchange (LME) falling to its lowest level in five weeks. This is due to the strengthening of the US dollar and limited demand in the physical market.

Three-month copper futures on the LME fell 0.2% to reach $9,747 per tonne. The price of aluminum decreased by 1% to $2,552.50 dollars, zinc – by 0.9% to $2,741, and lead – by 0.4% to $2,190.50 per ton. Tin on the LME lost 0.1% and traded at $31,410 per ton, while nickel remained virtually unchanged at $18,035.

The US dollar index increased on Monday, which made metals less accessible to owners of other currencies. Data released on Friday showed that the employment rate in the United States rose more than expected in May, which led to a revision of traders' expectations regarding the timing and extent of a reduction in the key interest rate of the US Federal Reserve.

Earlier in the session, the copper price experienced a decline to $9,741 per ton, marking its lowest level since May 2. The premium for copper in Yangshan Port remained negative, reflecting weak demand from China, the largest copper consumer, in the face of high and volatile prices. Copper stocks in the warehouses of the Shanghai Futures Exchange (SHFE) continue to grow and reached 336,964 tons on Friday, which is the highest value since March 2020.