Copper edges up on trade truce hopes; tariff clarity expected on Aug 1
Three-month copper on the London Metal Exchange climbed 0.16 per cent to US$9,813.50 per metric ton by 0146 GMT, while the most-traded copper contract on the Shanghai Futures Exchange rose 0.18 per cent to 79,120 yuan (US$11,029.33) a ton.
"Nothing seems certain yet; the remarks from the (US and China) officials sound hopeful. I am still uncertain what will come afterwards though the two countries said they would push to extend the trade truce," a Shanghai-based metals analyst at a futures company said.
More details may be available on Aug 1 when US tariffs on its trade partners, including its 50 per cent copper import tariffs, are all said to be effective.
Elsewhere, the premium of COMEX over LME copper fell to 26 per cent after top producer Chile said it was seeking exceptions from 50 per cent US tariffs.
Grupo Mexico, a leading copper miner, reported a 10 per cent rise in net profit for the second quarter amid lower mining costs and strong performance in its copper byproducts business. It views the looming tariffs as an investment opportunity to expand production run by its US subsidiary, Asarco, in Arizona.
Among other London metals, aluminium gained 0.12 per cent to US$2,608.50 a ton, zinc added 0.27 per cent to US$2,812.50, lead climbed 0.10 per cent to US$2,018.50 and tin edged up 0.02 per cent to US$33,700, while nickel fell 0.40 per cent to US$15,255.
SHFE nickel rose 0.09 per cent to 122,010 yuan, tin strengthened 0.17 per cent to 267,810 yuan, and zinc increased 0.20 per cent to 22,705 yuan, while aluminium lost 0.02 per cent to 20,620 yuan a ton, and lead fell 0.30 per cent to 16,895 yuan.
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