Copper continued to fall. Deepening concerns about inflation related to the war in Iran and worse-than-expected Chinese data have put pressure on industrial commodities.
Bloomberg writes that US President Donald Trump has again made threats against Iran, as the positions of the parties on the agreement to end the conflict and open the Strait of Hormuz remain far apart, which has led to an increase in oil prices. This has fueled speculation that central banks will have to continue tightening monetary policy, which could negatively affect metals markets due to slowing global growth and declining demand from manufacturers.
Copper fell 1.2% in early Asian trading to $13,394.50 a tonne, after falling more than 4% in the previous two sessions from a record closing high on May 13.
Global bond markets are showing increased volatility due to the impasse in the war with Iran. Since the truce came into force in early April, Trump has repeatedly threatened to resume the bombing that began in late February.
Reinforcing the pessimistic mood in the metals markets, China's economy showed some signs of weakness last month. Fixed asset investment unexpectedly declined, while retail sales and industrial production were below expectations.
As of 6:18 a.m. Kyiv time, the price of copper on the London Metal Exchange decreased by 0.3% to $13,513 per ton. Thus, 1 kilogram of metal costs $ 13.51.
