METALS-Copper tumbles from two-week peak as Trump renews China tariff threat

By Kitco News / July 17, 2019 / www.kitco.com / Article Link


* GRAPHIC-2019 asset returns: (Updates with official prices, Zambia copper)By Zandi ShabalalaLONDON, July 17 (Reuters) - Copper retreated from a two-weekhigh on Wednesday after U.S. President Donald Trump threatenedto impose further tariffs on China, a move which could dentdemand for metals.Three-month copper on the London Metal Exchange(LME) closed 0.5% lower at $5,980 per tonne, after the metaltouched its highest since July 1 in the previous session.Trump questioned China's failure to make good on what he sawas its promise to buy more U.S. agricultural goods, and saidWashington could impose tariffs on an additional $325 billionworth of Chinese goods if it needed to do so. The year-long tariff standoff between the world's twolargest economies has sapped metals demand and helped dentgrowth in top consumer China."Trump said there is a long way before the trade deal issealed and he also spoke about extending tariffs, so that mightbe factor today," said BMO Capital Markets analyst ColinHamilton, adding that prices had "actually held up well despiteTrump's comments".Trump's remarks came after the World Trade Organization(WTO) said the United States did not fully comply with itsruling and could face Chinese sanctions if it does not removecertain tariffs that break WTO rules. LME STOCKS: Copper inventories in LME-registered warehousesclimbed 8,500 tonnes to 276,025 tonnes, the highest since April2018, suggesting a better supplied market. CHINA PREMIUMS: Yangshan copper premiums , paidon top of LME copper prices to import metal into China, rose totheir highest since February at $62.


CONTRACTS: Jiangxi Copper Co and TonglingNonferrous Metals Group signed a concentrate supplydeals with Chilean miner Antofagasta for the first halfof 2020. PERU COPPER: Peruvian President Martin Vizcarra rejected ademand to cancel a permit for Southern Copper Corp's $1.4 billion Tia Maria copper mine project amid protests fromlocal residents. ZAMBIA COPPER: Zambia expects nine companies to submit bidsfor Konkola Copper Mines within weeks, mines minister RichardMusukwa said, even as a court case with Vedanta overits ownership was underway. TIN: China's refined tin production fell by roughly 10% inthe first half of 2019 to around 75,000 tonnes, data from theBeijing branch of the International Tin Association showed. CHILE LITHIUM: How lithium-rich Chile botched a plan toattract battery makers. COLUMN: Nickel is enlivening an otherwise torpid summer forthe base metals complex. PRICES: Aluminium fell 0.2% to $1,847 per tonne,zinc shed 0.3% to $2,474.50, lead added 1% to$2,007, tin fell 0.4% to $17,925, while nickel touched a one year high, up 2.5% at $14,440. (Additional reporting by Mai Nguyen in SINGAPORE; editing byLouise Heavens and David Evans)

zandi.shabalala.thomsonreuters.com@reuters.net))

LME price overview COMEX copper futures Base metals news All metals news All commodities news Metals diary Foreign exchange rates SPEED GUIDES)) Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.

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