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METALS-London copper back at $6,000/tonne, supply concerns support buying

Published 20/02/2017, 01:13 pm
© Reuters.  METALS-London copper back at $6,000/tonne, supply concerns support buying
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MELBOURNE, Feb 20 (Reuters) - London copper rose on Monday, returning to the $6,000 per tonne mark, as near-term supply disruptions intensified after the world's second-biggest mine said it could not fulfil its promised shipments due to export permit issues.

FUNDAMENTALS

* Three-month copper on the London Metal Exchange CMCU3 rose by 0.7 percent to $6,000 a tonne by 0210 GMT, paring losses from the previous session. Prices hit $6,204 a week ago, after top mine Escondida also declared it could not fulfil contracted shipments because of a strike, but industry sources said that smelters and fabricators were still amply supplied with metal. Shanghai Futures Exchange SCFcv1 copper was steady at 48590 yuan ($7,079) a tonne.

* The chief executive of miner Freeport-McMoran Inc's FCX.N Indonesian unit, resigned, the company said on Saturday, after the parent firm declared force majeure on copper concentrate shipments from its Grasberg mine in Papua. The positions of BHP Billiton BHP.AX , BLT.L and the striking union at its Escondida copper mine in Chile, the world's largest, remain distant even as the two parties agreed last week to return to the table. Anglo American PLC AAL.L will temporarily suspend operations at its El Soldado copper mine in Chile after failing to receive regulatory approval for a redesign that would have helped keep output flowing, the company said on Friday. Philippine President Rodrigo Duterte said he will review his minister's order to close more than half the country's mines for environmental violations, following an outcry from affected producers. Turnover was light with U.S. markets closed for the Presidents Day holiday.

* China's central bank said on Friday it plans to tighten up oversight in a range of areas including corporate debt and bank assets, as policymakers fret over fast-rising leverage and the risk of asset bubbles in the economy. President Donald Trump's pledge to bring massive investments in U.S. infrastructure projects showed new signs of life on Friday, as leading Republican lawmakers said proposals from the administration could be in the offing. For the top stories in metals and other news, click

TOP/MTL or MET/L

MARKETS NEWS

* Asian share markets got off to a subdued start on Monday as political uncertainty kept the mood cautious, while the U.S. dollar softened a touch ahead of a busy week for Federal Reserve speakers. MKTS/GLOB

DATA/EVENTS

0700 Germany Producer prices for Jan

1500 Euro zone Consumer confidence flash at Feb

PRICES

Three month LME copper

CMCU3

Most active ShFE copper

SCFcv1

Three month LME aluminium

CMAL3

Most active ShFE aluminium

SAFcv1

Three month LME zinc

CMZN3

Most active ShFE zinc

SZNcv1

Three month LME lead

CMPB3

Most active ShFE lead

SPBcv1

Three month LME nickel

CMNI3

Most active ShFE nickel

SNIcv1

Three month LME tin

CMSN3

Most active ShFE tin

SSNcv1

($1 = 6.8640 Chinese yuan renminbi)

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