MARKET COMMENTARY
3M LME copper traded in the $8,900-$10,000 range in July. The dollar, which weakened ahead of the China meeting and Powell's speech from July 15-18, tested $10,000 on 05.07.2024 on the back of rising U.S. rate cut hopes, stimulus measures and increased physical demand in China, the largest consumer. It extended its losses and tested $8,900 on 25.07.2024, its lowest level since March 28. 3M LME copper ended July down 3.61% at $9,586.
3M LME copper tested the $10,000 level in the first week of July, supported by the weaker dollar, rising interest rate cut hopes in the US, stimulus measures and the higher than expected non-farm payrolls announced in the US on 05.07.2024, following the increase in physical demand in the largest consumer China. Copper prices finished the week with a 4.01% gain at $9,970.
LME copper, which started the second week of July at $10,000, faced losses after the disappointing inflation announcement in China. It finished the week at $9,877, down 0.93%, also due to the increase in copper stocks.
LME copper, which started the third week of July at $9900, ended the week down 5.94% at $9290, under pressure from weak economic data from top consumer China and rising stocks in most global warehouses.
LME copper, which started the fourth week of July at $9,330, increased its losses as demand concerns in the largest consumer, China, continued, testing $8,900, its lowest level since March 28. Finding support from the losses in the dollar on the last day of the week, LME copper remained under pressure throughout the week, finishing the week down 2.34% at $9,073.
