Copper falls from near-record highs on profit-taking, firmer dollar

Business Recorder reported that copper slipped on Wednesday as a firmer greenback and profit-taking weighed on the metal, which had been testing resistance above $14,800 a ton. Benchmark three-month copper on the London Metal Exchange (LME) was 0.3% lower at $14,700 a ton by 1005 GMT, having earlier reached $14,833, a level not seen since September 10.

Comex copper had hit a record $6.83 per lb, or $15,057 per ton, on Tuesday before giving back ground on Wednesday. That retreat came after Reuters reported that Washington had not settled on copper import duties, citing affordability worries. Comex-linked warehouses account for 69% of about 1 million tons that global exchanges track, adding to worries about tight supply outside America.

The spread between LME cash and three-month copper swung into a premium of $76 a ton, from a discount of $86 on September 14. RBC Capital Markets analysts said buyers were paying up to secure metal sooner, a sign of a tighter market. Roughly half of the 252,500 tons held in LME-registered warehouses is earmarked for delivery out. Demand in China, the top consumer, looks firm ahead of holidays on September 25 and from October 1 to 7.