Copper prices declined after Iran and the US exchanged fire in the Persian Gulf, casting doubt over a possible ceasefire and raising concerns regarding a further escalation of the conflict.<\/p>\n
Copper fell up to 1.7% on the London Metal Exchange after it closed in the green for the first time in seven sessions on Friday.<\/p>\n
\nThe LME was shut Monday for a UK public holiday. The American military fought off Iranian attacks as it facilitated the passage of two US-flagged vessels through the Strait of Hormuz, while a drone strike hit Fujairah port in the United Arab Emirates.
The risk for metals is a prolonged closure of the strait, which would magnify the energy shock and could force central bankers into a more hawkish stance, hitting manufacturing and crimping demand for industrial commodities. On the supply side, copper stockpiles in LME-tracked warehouses remained near the highest level since 2013, adding to bearish sentiment.<\/p>\n
Copper was 1% lower at $12,863 a ton on the LME as of 10:02 a.m. Shanghai time. Aluminum fell 0.9% and zinc dropped 1.1%. Iron ore futures were little changed at $108.40 a ton on the Singapore Exchange, with trading activity subdued due to a China holiday. Chinese markets will reopen Wednesday.<\/p>\n
With inputs from Bloomberg<\/p>\n","protected":false},"excerpt":{"rendered":"Copper prices declined after Iran and the US exchanged fire in the Persian Gulf, casting doubt over a…\n","protected":false},"author":2,"featured_media":98137,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_share_on_mastodon":"0"},"categories":[26],"tags":[34395,34394,34398,34397,2101,34396,39,1439,21846],"class_list":["post-98136","post","type-post","status-publish","format-standard","has-post-thumbnail","category-persian-gulf","tag-copper-market-decline","tag-copper-prices","tag-energy-shock-impact","tag-industrial-metals-demand","tag-iran-us-tensions","tag-lme-copper-stocks","tag-persian-gulf","tag-persian-gulf-conflict","tag-strait-of-hormuz-risk"],"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@iran\/116519715567004808","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/iran\/wp-json\/wp\/v2\/posts\/98136","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/iran\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/iran\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/iran\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/iran\/wp-json\/wp\/v2\/comments?post=98136"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/iran\/wp-json\/wp\/v2\/posts\/98136\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/iran\/wp-json\/wp\/v2\/media\/98137"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/iran\/wp-json\/wp\/v2\/media?parent=98136"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/iran\/wp-json\/wp\/v2\/categories?post=98136"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/iran\/wp-json\/wp\/v2\/tags?post=98136"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}