Firm dollar and rising inventories send copper prices below $8,000

Staff Writer | October 2, 2023 | 10:09 am Markets Europe USA Copper

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Copper prices fell on Monday as a firm dollar and higher inventories weighed on prices.

Copper for delivery in December was down 2.7% on the Comex market in New York, touching $3.63 per pound ($7,986 per tonne).

[Click here for an interactive chart of copper prices]

The dollar was firm as the prospect of higher-for-longer US interest rates provided solid support, making greenback-priced metals more expensive to holders of other currencies.

The Chinese market is shut for public holidays until Oct. 8, so demand was tepid, while supply pressure is climbing.

Meanwhile, inventories of copper in LME-registered warehouses have surged 141% in the past three months to 167,825 tons, the highest since May last year.

Copper output in Chile, the world’s largest producer of the red metal, rose 2.7% year-on-year in August to 434,206 tons.

(With files from Reuters)