Copper Dips Slightly on Surplus Expectations, Data Still Strong

Benchmark copper dropped 0.7 percent to trade at $7,078 per tonne on Wednesday, according to Reuters. A surplus in copper is decreasing the metal’s prices in the second half of the year. On the upside, recently released data from China showed the country’s economy expanding faster than expected in the second quarter as the government initiated a stimulus program.

“The data today is all pretty good,” analyst Lachlan Shaw at the Commonwealth Bank of Australia told Reuters. “The fine-tuning put in place definitely seems to be having the desired impact of stabilizing growth, and our view is that we’re likely to see stronger growth again the second half.”

Copper for September delivery dropped 0.06 percent or $0.002 to trade at $3.248 an ounce, according to Investing.com.