METALS-Industrial metals fall as global growth concerns weigh
* Fed minutes, U.S. rate hikes in focus
* U.S. dollar bounces from 1-month low
* 'Progress' in resolving Peru mine standoff
(Updates prices)
May 25 (Reuters) - Industrial metals fell on Wednesday on
concerns about the global economy's health and a firm U.S.
dollar, with copper down for a second straight session after
hitting a more than two-week high.
Three-month copper on the London Metal Exchange was
down 0.6% at $9,400 a tonne, as of 0733 GMT.
The most-traded July copper contract on the Shanghai Futures
Exchange slipped 0.3% to 71,530 yuan ($10,724.14)a
tonne.
"Negativity returned to risk markets as economic data
reinforced growth concerns," ANZ analysts said in a note.
Latest key indicators reinforce concerns about how supply
chain bottlenecks, high inflation, and rising interest will
impact global growth, they said. New U.S. home sales fell 16.6%
month-on-month in April, the largest decline in nine years.
In top metals consumer China, COVID-19 lockdowns kept
markets on edge, largely unexcited about Beijing's attempts to
shore up the domestic economy through additional stimulus
measures.
PERU: The leader of a Peruvian indigenous community, whose
protest led MMG's Las Bambas copper mine to suspend
operations over a month ago, said on Tuesday that "progress" has
been made toward a solution to the crisis.
Peru is the world's No. 2 copper producer.
DOLLAR: The dollar bounced off a one-month low on Wednesday
amid a stabilisation in Treasury yields. A firmer dollar also
makes metals priced in the U.S. currency less attractive to
global buyers.
FED MINUTES: The Federal Open Market Committee is expected
to release the minutes from its May 3-4 policy meeting at 1800
GMT.
PRICES: LME aluminium was down 1.9% at $2,846 a
tonne, zinc fell 1.3% to $3,741, lead shed 1% to
$2,147, and tin edged down 0.3% to $34,000.
Shanghai aluminium dropped 0.6%, nickel
slipped 0.5%, lead lost 0.3%, tin tumbled
3.1%, but zinc edged up 0.5%.
($1 = 6.6700 Chinese yuan)
(Reporting by Enrico Dela Cruz in Manila; Editing by Rashmi
Aich)
Log In Required
Line of Credit Log In Required
