Copper in LME closed lower due to uncertainty about the outcome of the Fed meeting and concerns about economic growth.

Published: Nov 04, 2021 08:10 (GMT+8)
[copper for LME delivery closed lower pending Fed meeting results] 17:00 London time (01:00 Beijing time)), LME copper for three-month delivery fell $37.00, or 0.39%, to settle at $9458.50 a tonne, giving up earlier gains, down nearly 10 per cent since hitting a five-month high on Oct. 18.

Foreign news on November 3, the London Metal Exchange (LME) copper closed lower on Wednesday, affected by the uncertainty before the release of the results of the Federal Reserve meeting, as well as concerns about China's economic slowdown. The Fed is expected to begin to scale back its stimulus measures.

17:00 London time (01:00 Beijing time)), LME copper for delivery in three months fell $37.00, or 0.39 per cent, to settle at $9458.50 a tonne, giving up earlier gains and has fallen nearly 10 per cent since hitting a five-month high on Oct. 18.

Ole Hansen, head of commodities strategy at (Saxo Bank) at Saxo Bank, said: "We are waiting to see at what scale and speed they will withdraw from QE before the results of the Federal Open Market Committee ((FOMC)) are released."

"the next move depends largely on the strength of the dollar after the FOMC meeting, but also on further data on China's economic activity."

Global stock markets hit a record high on Wednesday, but US stocks fell slightly later, as the Fed was widely expected to act, hinting at support measures to withdraw from the epidemic.

Hansen added that Lunbro had been boosted by the opening of the arbitrage window between the LME market and the Shanghai copper market in early trading as it boosted Chinese buying.

(Codelco), Chile's national copper miner, the world's largest copper miner, fell 16 per cent in September from a year earlier to 133800 tons, Chile's copper commission (Cochilco) said on Wednesday.

Data released on Wednesday showed that LME copper registered warehouse receipts rose more than 18 per cent to 37525 tonnes, but remained down 84 per cent since the end of August.

In a sign of recent tight supplies, LME nickel stocks fell to 139878 tonnes, the lowest since December 2019, according to data released on Wednesday.

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