Copper stumbles as risk-off sentiment ahead of US elections weighs

Copper prices retreated on Tuesday as investors reduced exposure to industrial metals before the US midterm elections, Business Recorder reported. London Metal Exchange copper for three-month delivery was down 1.27% at $14,163.50 a ton by 0306 GMT, while the most active Shanghai contract slipped 0.18% to 108,380 yuan ($16,302.65) a ton.

Market participants are watching the election for indications about US fiscal policy and spending, alongside developments in the US-Iran conflict, which has clouded expectations for global growth. A 0.33% rise in the dollar against the yuan made dollar-priced copper costlier for Chinese buyers, but lower inventories and signs of restrained Chinese smelter output helped limit losses. The Yangshan import premium was near $200 a ton, while SHFE-monitored copper stocks stood at 44,612 tons on Friday, down more than 75% from six months earlier. Other metals also mostly fell, with LME tin down 3.14%.