Copper fell in London, set for the biggest monthly decline since May, on further signs demand has yet to revive as stockpiles of the metal increase.
Copper rose the most in more than two weeks as miners prepared to strike in Chile, the world’s biggest producer.
Copper rose in London, narrowing this week’s drop, on signs a price slump encouraged buyers in leading global consumer China as demand strengthens.
Copper rose in London before a report that may show manufacturing in China increased, adding to speculation of recovering demand by the biggest buyer.
Copper fell the most in two months on concern that China, the world’s biggest metal consumer, will take more steps to restrain the economy.
The premium investors pay to borrow copper for next-day delivery fell from the highest in almost three months after a dominant position in London Metal Exchange- monitored stockpiles disappeared.
Copper rose for a second day in New York amid speculation China and the U.S., the world’s two largest users of the metal, may move to stoke their economies.
The fee paid to borrow copper for next-day delivery on the London Metal Exchange rose to the highest level since Jan. 6 as investors closed out bets on falling prices before tomorrow.
Zinc stockpiles close to a 17-year high are masking demand for the metal in financing transactions.
Copper futures headed for the biggest weekly gain since early December on optimism that global growth will sustain demand for industrial metals.
"The market is still lacking confidence."
- Andrew Silver on Apr 30, 2013