METALS-London copper heads for worst week in a year on fears of downturn


    June 24 (Reuters) - London copper prices languished near
16-month lows on Friday and looked set to post their biggest
weekly drop in a year, as rapid interest rate hikes and weak
economic readings raised recession fears.
   
    FUNDAMENTALS
    * Three-month copper on the London Metal Exchange <CMCU3>
was up 0.1% at $8,421 a tonne, as of 0237 GMT, after dropping to
its lowest since February 2021 at $8,326 on Thursday. The
contract was down 6% for the week.
    * The most-traded July copper contract in Shanghai <SCFcv1>
fell 3.3% to 64,220 yuan ($9,590.51) a tonne and was down 7.8%
for the week - its largest weekly fall since March 2020. 
    * The U.S. Federal Reserve's commitment to reining in
40-year-high inflation is "unconditional," its chair Jerome
Powell told lawmakers on Thursday, even as he acknowledged that
sharply higher interest rates may push up unemployment.
[nL1N2YA1RT]
    * Euro zone business growth has slowed significantly in June
as consumers concerned about soaring bills opted to stay at home
and defer purchases to save money, a survey showed. [nZRN004KE5]
    * Union leaders at Chile's state-owned mining firm Codelco,
the world's largest copper producer, reached an agreement with
the company to end a national strike over the decision to close
a smelter located in a highly polluted area. [nL1N2YA23Z]
    * Mainland China reported 143 new coronavirus cases for June
23, compared with 135 new cases a day earlier. COVID
restrictions in China have battered the country's economy and
manufacturing sector. [nK7N2PR028]
    * The global zinc market moved to a surplus of 10,900 tonnes
in April from a revised deficit of 31,700 tonnes a month
earlier, data from the International Lead and Zinc Study Group 
showed. [nL8N2YA4PV]
    * The LME said on Thursday it had appointed management
consultants Oliver Wyman to carry out an independent review of
the events that led to a week-long suspension of nickel trading
in March. [nL1N2YA1DR]
    
    MARKETS NEWS
    * Stocks and bonds were both headed for their first weekly
gain in a month as investors wagered on central banks bringing
inflation to heel, though growth fears dragged on commodities.
[MKTS/GLOB]
        
    DATA/EVENTS (GMT)
    0600    UK        Retail Sales  MM/YY        May
    1400    US        U Mich Sentiment Final     Jun
    1400    US        New Home Sales-Units       May
    
    PRICES    
    Three month LME copper          <CMCU3> 
    Most active ShFE copper         <SCFcv1> 
    Three month LME aluminium       <CMAL3> 
    Most active ShFE aluminium      <SAFcv1> 
    Three month LME zinc            <CMZN3> 
    Most active ShFE zinc           <SZNcv1> 
    Three month LME lead            <CMPB3> 
    Most active ShFE lead           <SPBcv1> 
    Three month LME nickel          <CMNI3>
    Most active ShFE nickel         <SNIcv1>  
    Three month LME tin             <CMSN3> 
    Most active ShFE tin            <SSNcv1>


($1 = 6.6962 Chinese yuan)

 (Reporting by Brijesh Patel in Bengaluru; Editing by Subhranshu
Sahu)
 (([email protected]; Within U.S. +1 651 848
5832, Outside U.S. +91 8067493865; Reuters Messaging:
[email protected]))
 
(( For related news and prices, click on the codes in brackets:
 LME price overview      <RING=> COMEX copper futures  <0#HG:>
 All metals news         [MTL]   All commodities news      [C] 
 Foreign exchange rates <FX=>    SPEED GUIDES <LME/INDEX>))

Keywords: GLOBAL METALS/

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