Copper hits 10-day low as oil rally, strong dollar weigh

Business Recorder reported that copper slipped to a 10-day low on Monday, with three-month LME contracts down 1.06 per cent at $14,467.50 per tonne by 0332 GMT. Earlier the metal had dipped to $14,440, its weakest level since September 18. Brent gained close to 2 per cent after Donald Trump declined an Iranian plan that would have reopened the Strait of Hormuz and brought the fighting to a close, keeping supply worries alive.

In Shanghai, the main copper contract lost 0.72 per cent to 109,420 yuan ($16,296.08) per tonne, after falling as far as 0.91 per cent earlier. Buyers are likely to stock up before China's seven-day National Day break, yet Jinrui Futures said elevated spot premiums and steep prices could restrain purchases. Chinese industrial profits grew 4.2 per cent in August, a sharp slowdown from 11.2 per cent in July, while the January to August figure eased to 15.7 per cent.

The dollar remained near its highest level in two months, a backdrop that raises the cost of metals for buyers paying in other currencies. Other LME base metals also retreated, with tin down 1.72 per cent and zinc losing 1.10 per cent.