Copper Prices Dip 1.9 Percent on Signs of Slowing Chinese Demand

Declining property prices in China have led to a drop in copper prices, with Comex prices declining 1.9 percent to hit $2.558 a pound, according to Bloomberg. China is the world’s largest metal user, and government data revealed that 64 out of 70 cities saw new home prices fall, demonstrating new home construction hasn’t been revived yet.

“More and more reports are indicating that the slowdown is not getting any better,” Mike Dragosits, senior commodity strategist at TD Securities in Toronto, told Bloomberg. “Prices will probably remain under pressure until we see China taking some aggressive steps to boost growth.”

Copper futures have declined 7.8 percent this year over concerns of a global surplus.

Additionally, copper dropped 2 percent on the London Metal Exchange to reach $5,636.50 a tonne.Declining property prices in China have led to a drop in copper prices, with Comex prices declining 1.9 percent to hit $2.558 a pound, according to Bloomberg.