Copper price ends mixed as traders mull China and US data

Industrial metals finished mixed as concerns about China’s economy were tempered by signs of a healthy jobs market in the US.

Aluminum, nickel and copper fell earlier on the London Metal Exchange after a gauge of China’s manufacturing activity dropped to the lowest level in more than two years, and below the 50-point mark separating expansion from contraction.

But metals pulled back from their steepest declines, tracking an upward move in stock markets, after an unexpected increase in US job openings, indicating demand for workers remains healthy despite heightened economic uncertainty.

The drop in China’s factory gauge came as a surprise since economists had expected a median reading of 50.7, and the official PMI numbers released on Saturday were stronger. The Caixin survey, which is more export-oriented, is an indication of how factories in China have dealt with the trade truce with the US over the past month. With tensions rising again, traders will become cautious.

Copper was steady to settle at $9,634 a ton on the London Metal Exchange as of 5:50 p.m. local time, after earlier falling 1%. Aluminum was down 0.1%, while nickel fell 0.6%, paring a drop of 1.4%. Zinc ended with a slight gain, and tin climbed 2.2%.

(By Katharine Gemmell and Mark Burton)