METALS-Copper rises after recent fall, set for biggest weekly loss in 2 months

Aug 20 (Reuters) – Copper prices rose on Friday but was on track for a weekly loss after investors sold the base metal complex on China’s slowing growth, COVID-19 outbreaks, and U.S. tapering worries.

Three-month copper on the London Metal Exchange rose 1% to $8,985.50 a tonne by 0302 GMT. For the week so far, it is down 6.1% to be on track for its biggest weekly fall since June 18.

The contract hit its lowest in over four months on Wednesday, as recent weakening economic data from top consumer China, rising coronavirus cases globally and U.S. Federal Reserve officials expecting to reduce bond buying hurt metals.

The most-traded September copper contract on the Shanghai Futures Exchange fell 0.5% to 67,220 yuan ($10,338.83) a tonne, rebounding from its lowest since April 2 hit earlier in the session of 66,000 yuan a tonne, tracking overnight losses in London.

FUNDAMENTALS

* LME nickel rose 1.2% to $18,605 a tonne, tin climbed 0.9% to $33,430 a tonne and aluminium advanced 0.9% to $2,568.50 a tonne.

* ShFE aluminium increased 0.6% to 20,155 yuan a tonne, lead fell 1.2% to 15,205 yuan a tonne and tin dropped 3.3% to 233,500 yuan a tonne.

* China will not auction off strategic metal inventories this month due to a spike in cases, two Chinese industry consultancies said on Thursday, although the country’s state reserves body said it would continue to release stocks.

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MARKETS NEWS

* Asian shares extended losses from the 2021 low set a day earlier, while the dollar held onto its recent gains sitting at a nine-month high.

DATA/EVENTS (GMT)

0600 UK Retail Sales MM, YY July

0600 UK Retail Sales Ex-Fuel MM July

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