SINGAPORE — Shanghai copper prices reversed course to trade higher on Tuesday after U.S. President Donald Trump said the trade deal with China was on track, following confusing statements from the White House regarding the agreement’s status.
The most-traded copper contract on the Shanghai Futures Exchange rose 0.1% to 47,590 yuan ($6,723.37) a tonne by 0553 GMT after falling as much as 0.4%.
Three-month copper on the London Metal Exchange dipped 0.3% to $5,862 a tonne, recovering from a drop of 1% earlier on Tuesday.
White House trade advisor Peter Navarro told Fox News on Monday the trade deal with China was “over,” but he later walked back his remarks, while Trump said on Twitter that the deal was “fully intact.”
“Market was just doing a knee-jerk this morning. We will get to $6,000 a tonne, just not in a straight line,” said a metals trader, referring to the price of LME copper.
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“The United States has an infrastructure bill to pass to win Trump the elections,” the trader said, adding that a weakening U.S. dollar has been boosting commodities demand.
* CHILE: Chile’s Codelco said it would implement new measures at its El Teniente copper mine amid increasing worker angst over the fast-spreading novel coronavirus.
* * ZINC & LEAD: The global zinc market was in 10,800 tonnes in surplus in April, while lead was in a surplus of 29,600 tonnes in the month, International Lead and Zinc Study Group’s data showed.
* OTHER PRICES: LME aluminum fell 0.5% to $1,595.50 a tonne and zinc decreased 0.7% to $2,073.50 a tonne, while ShFE aluminum rose rose 0.4% to 13,650 yuan a tonne and nickel dropped 1% to 101,720 yuan a tonne