Copper holds ground at two-week high
After gaining for three consecutive trading days, copper eased in the early hours on September 8. However, it’s still at two-week high levels. At 6:45 AM EST on September 8, the COMEX copper futures contract for December delivery was trading at $2.09 per pound—a drop of ~0.17%.
Decline in China’s refined copper imports
China’s copper imports fell in August and weighed on copper prices. According to data released by the General Administration of Customs on September 8, China’s refined copper imports in August fell 2.8% month-over-month to 350,000 tons—the lowest level in a year. This decline in refined copper imports is due to the increase in China’s domestic refined copper production. On the other hand, China’s imports of copper ore and concentrate rose ~35% in the first eight months of 2016 to 10.85 million tons. This data made the copper sentiment mixed. Copper is trading with decreased momentum in the early hours despite the weaker US dollar.
On September 7, major copper producers Freeport-McMoRan (FCX), Glencore (GLNCY), BHP Billiton (BHP), and Rio Tinto (RIO) fell 1.2%, 0.41%, 1.8%, and 1.7%, respectively. The SPDR S&P Metals & Mining ETF (XME) fell 0.48%, while the PowerShares DB Base Metals (DBB) gained 0.15%.
Gold and silver are stable in the early hours
Gold and silver are stable in the early morning hours on September 8 amid the weaker dollar. The market is looking forward to the outcome of the European Central Bank’s policy meeting. At 6:50 AM EST on September 8, the COMEX gold futures contract for December delivery was trading at $1,351.75 per ounce—a gain of 0.2%. The COMEX silver futures contract for December delivery was trading at $20 per ounce—a gain of ~0.76%.