Copper Falls on Ukraine Crisis, China Data

Three-month copper on the London Metal Exchange fell nearly 1 percent, or $69.50, to $6,950 per tonne in early morning trade on March 3, its lowest since December 3, according to The Wall Street Journal.

Base metals are considered growth-sensitive assets, when compared to the safe haven of precious metals, and are thus more susceptible to negative fluctuations in times of increased geopolitical tensions.

“Developments in Ukraine could further rattle nervous markets and signal a spike in the geopolitical risk premium,” Tina Fordham, an analyst at Citigroup, told the Journal.

Meanwhile, China’s manufacturing data hit an eight-month low in February, according to reports released over the weekend, further depressing the price of copper.

Copper for May delivery on New York’s Comex dropped 0.45 percent or $0.014, to trade at $3.173 per pound, according to Investing.com.