The benchmark three-month copper contract on the London Metal Exchange (LME) fell 0.9% to $9,845 per ton. The contract hit a five-month high of $10,046.50 per ton on Thursday.
The most actively traded copper futures contract on the US Comex (CME) exchange fell 1.2% to $5.049 per pound.
About a month ago, U.S. President Donald Trump ordered an investigation into the possibility of imposing new tariffs on copper imports with the aim of rebuilding U.S. production of the metal. Technically, the copper investigation could take up to nine months.
Natalie Scott-Gray, senior metals analyst at StoneX, said: "Supply concerns stemming from potential tariffs have impacted the CME-LME price spread, as the U.S. is heavily reliant on copper imports."
The US imports approximately 40% of its copper needs, including from Canada and Mexico, making it a target of US President Donald Trump's tariff policies.
US President Donald Trump's 25% tariffs on steel and aluminum products went into effect last week.
The US president has said that his "reciprocal tariffs" aimed at bringing US tariffs down to the levels of other countries will take effect on April 2nd.
The premium on Comex contracts over LME contracts hit a record high of $1,346/tonne on Thursday and was most recently at $1,290/tonne, or 13%. StoneX estimates that prices would rise to $2,000/tonne if the US decides to impose a 25% tariff on copper.
StoneX added that the incentive to deliver copper to the US before potential tariffs also led to some trade rerouting, as copper swap traders could trade on the LME with producers and consumers for brands available on the CME.
Daily LME data shows that copper inventories under order in the LME system have fallen to 117,775 tonnes, the lowest level since June, following new cancellations of 8,200 tonnes. Canceled inventories now account for 48% of total LME copper inventories.
Aluminum on the LME fell 1.0% to $2,631.50 a ton, zinc fell 0.4% to $2,905 a ton, lead fell 0.9% to $2,038.50 a ton, tin fell 1.0% to $34,920 a ton, while nickel fell 0.7% to $16,165 a ton.
Source: https://kinhtedothi.vn/gia-kim-loai-dong-ngay-22-3-giam-do-ap-luc-tu-dong-usd.html
Comment (0)