Copper futures see longest stretch of session losses since 2020
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U.S. copper futures ticked lower on Thursday, marking its longest stretch of consecutive daily declines in over four years, as investors continue to fret over the uncertain demand situation in China, the top consumer of the metal, after a key meeting last week failed to lift market sentiment.
Based on the most-active contract, copper prices marked their longest stretch of consecutive daily losses since the 13-session drop that ended on Feb. 3, 2020. The metal fell below the $9,000-a-ton threshold for the first time since early April.
After the Third Plenum failed to reveal any policy response, the market is now looking ahead to the Politburo meeting next week for new measures that may support economic growth, ANZ analysts said in a note.
Front-month London copper futures (HG1:COM) fell 0.7% to $9,104/ton.
Copper prices have plunged more than 20% from record highs in May, battered by the slowdown in China’s property sector, which has been a major headwind to industrial metals demand.
Adding to the concerns, China’s refined copper exports more than doubled in June, pointing to slowing demand in the domestic market. Exports more than doubled to 157,751 tonnes in June from May, surpassing the previous all-time high of 102,000 tonnes in 2012, ING said, citing China Customs data.
ETFs: (NYSEARCA:COPX), (NYSEARCA:CPER), (OTC:JJCTF)
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