FQVLF - Copper extends drop as hawkish Fed China woes hit sentiment

2023-06-29 07:53:19 ET

Copper futures extended their recent decline to the lowest level in a month on Thursday, as signs of weak demand in China and hawkish comments from Federal Reserve Chair Jerome Powell capped risk appetite.

According to Reuters, three-month copper ( HG1:COM ) on the London Metal Exchange recently traded -1% at $8,172.5/metric ton, after touching its lowest since June 1 at $8,161.

ETFs: ( NYSEARCA: COPX ), ( NYSEARCA: CPER ), ( JJC ), ( JJCTF )

Potentially relevant stock  tickers include ( FCX ), ( SCCO ), ( TECK ), ( HBM ), ( BHP ), ( RIO ), ( ERO ), ( OTCPK:FQVLF ), ( OTCPK:LUNMF ), ( OTCPK:CSCCF )

Factory activity in China is expected to contract for a third straight month in June, underscoring the need for further policy stimulus to counter weak demand.

Data released earlier this week showed annual profit at China's industrial firms declining by double-digit percentage rates so far this year due to softening demand.

In the U.S., Fed Chair Powell did not rule out more rate hikes at the next policy meeting.

Aluminum and most other metals also were lower on the London Metal Exchange.

More on copper:

• COPX: The Copper Squeeze Is Only Getting Started
• Are Copper Markets About To Feel The Weight Of A $2 Billion Stockpile?
• The Stock Market Says One Thing, The Copper Market Says Another

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