 |
Copper Futures Little Changed in N.Y., Paring Earlier Losses |
 |
|
|
back to the News
Copper was little changed in New York, paring earlier losses after a report showed U.S. consumer confidence rose faster than forecast in May, signaling potentially stronger demand for the metal.
The New York-based Conference Board's index of consumer confidence rose to 108 this month from a revised 106.3 in April, a five-month low. The index averaged 105.9 last year.
``It's positive piece of news in the weak economic environment,'' said John Gross, director of metals management at Scott Brass Inc. in Cranston, Rhode Island. ``A higher level of confidence would be reflective in stronger economic growth.''
Copper futures for July delivery were little changed, falling 0.05 cent to $3.32 a pound on the Comex division of the New York Mercantile Exchange. The metal has risen 16 percent this year.
Copper inventories monitored by the London Metal Exchange, the world's biggest metals market, declined the most since May 9, falling 1.6 percent, to 131,925 metric tons, according to Bloomberg data. That was the seventh consecutive decline.
Copper earlier fell to $3.2635 on speculation that Chinese demand for the metal will slow as the government seeks to cool economic growth in the country, the world's biggest consumer of the metal.
China Imports
China's imports of refined copper and alloys more than doubled in the first four months of 2007, compared with the same period last year, according to customs data released on May 25. That raised concerns it may take time for the country to absorb rising stockpiles of the metal.
``There is a concern about slowing demand in China,'' Gross said. ``The government is taking further steps to slow down economic growth.''
The People's Bank of China raised the one-year deposit rate to 3.06 percent from 2.79 percent on May 18 to help cool investment. China's economy grew at a faster-than-forecast 11.1 percent pace in the first quarter of 2007, up from 10.4 percent in the fourth quarter of last year.
On the London Metal Exchange, copper for delivery in three months rose $65, or 0.9 percent, to $7,265 a ton at 7:03 p.m. London time. The metal reached a record $8,800 in May 2006.
A futures contract is an obligation to buy or sell a commodity at fixed price for delivery by a specific date. back to the News |
