Copper Slips to 2-Week Low

Copper eased for a third session on Monday on fears trade tensions between the world’s two largest economies could escalate and demand from China could cool after last week’s lackluster data, Reuters reported. Benchmark copper on the London Metal Exchange was down 0.4% at $6,988 per ton in official rings, amid thin trade due to a Chinese holiday. The industrial metal earlier touched its weakest since June 4 at $6,886.75. “Metals are still being pulled down by the looming trade war between China and the United States,” said Commerzbank senior commodity analyst Daniel Briesemann. “If sentiment worsens further then this will weigh further on metals prices. Metals could be affected directly if it comes to tariffs on automobiles and automobile parts.” China is the world’s top consumer of metals such as copper and any sign of weakness in its economy saps demand for the industrial metals. China posted weaker-than-expected industrial output, investment and retail sales for May on Thursday, signaling further weakness ahead if Beijing sustains its crackdown on factory pollution and local government spending.