Copper eased in the early hours
After posting moderate gains on September 8, copper eased in the early hours on September 9. At 7:00 AM EST on September 9, the COMEX copper futures contract for December delivery was trading at $2.1 per ounce—unchanged from previous day’s close.
China inflation reports the weakest pace in a year
According to the data released by National Bureau of Statistics of China, China’s CPI (consumer price index) in August reported year-over-year growth of 1.3%—the slowest growth in almost a year and month-over-month growth of 0.1%. The decline in food costs in August is one reason for the slowdown in the CPI. The market is looking forward to the industrial production data scheduled to release on September 12. Considering that China is the largest copper consumer, the economic and industrial production data from China will influence copper demand and price trends.
On September 8, major copper producers Freeport-McMoRan (FCX), BHP Billiton (BHP), and Rio Tinto (RIO) gained 0.09%, 0.58%, and 1.4%, respectively, while Glencore (GLNCY) fell 0.2%. The SPDR S&P Metals & Mining ETF (XME) and the PowerShares DB Base Metals (DBB) fell 1% and 0.07%.
Gold and silver are weaker in the early hours
Gold and silver are weaker in the early hours on September 9 amid a slight recovery in the US dollar. At 7:15 AM EST on September 9, the COMEX gold futures contract for December delivery was trading at $1,338 per ounce—a drop of ~0.27%. The COMEX silver futures contract for December delivery was trading at $19.51 per ounce—a drop of ~0.89%. On September 8, precious metal producers Barrick Gold (ABX), Newmont Mining (NEM), Silver Wheaton (SLW), and Royal Gold (RGLD) fell 2.6%, 1.2%, 1.1%, and 2.4%, respectively. The SPDR Gold Trust ETF (GLD) fell 0.52%.