SINGAPORE- London copper prices fell on Monday on demand worries, as an emergency rate cut by the US Federal Reserve failed to ease concerns about the rising economic toll of the coronavirus pandemic.
The Fed slashed interest rates to near zero on Sunday in its second emergency rate cut since the 2008 financial crisis to cushion the coronavirus’ “profound” impact on the global economy.
The move, however, failed to instil confidence among investors as the virus spread rapidly across the globe, forcing entire societies to effectively shut down.
Three-month copper on the London Metal Exchange (LME) was down 0.7 percent at $5,423.50 a ton, while zinc fell 0.6 percent to $1,973 a ton and tin dropped 1.8 percent to $15,670 a ton.
The most-traded copper contract on the Shanghai Futures Exchange, however, rose 0.5 percent to 43,150 yuan ($6,165.87)a ton, rebounding from its lowest in over three years hit in the previous session. The Shanghai lead contract fell 0.4 percent to 14,205 yuan a ton. — Reuters
