Copper eases on firm dollar, lack of clarity around China stimulus; set for weekly loss
NEW DELHI, Dec 13 (Reuters) -London copper prices nudged lower on Friday and were on track for weekly losses on the back of a stronger U.S. dollar and lack of clarity around China's stimulus measures.
Three-month copper on the London Metal Exchange (LME) CMCU3 shed 0.1% at $9,079 per metric ton, as of 0219 GMT, but dropped 0.5% for the week so far.
The most-traded January copper contract on the Shanghai Futures Exchange (SHFE) SCFcv1 fell 1.1% to 74,580 yuan ($10,250.98) a ton.
The U.S. dollar rose to a 2-1/2-week high to major peers on Friday, making greenback-priced metals more expensive for holders of other currencies. FRX/
China on Thursday pledged to increase the budget deficit, issue more debt and loosen monetary policy to maintain a stable economic growth rate as it gears up for more trade tensions with the United States as Donald Trump returns to the White House.
The readout of an annual agenda-setting meeting, however, did not disclose the size of the stimulus measures.
"We highlight that the market is poised for a period of significant price volatility, with anticipated U.S. dollar strength and shifts in trade policies following a Trump victory acting as major headwinds, while the outlook remains heavily contingent upon China's economic momentum," said BMI, a unit of Fitch Solutions.
LME aluminium CMAL3 dipped 0.1% at $2,597 a ton, zinc CMZN3 fell 0.4% at $3,063, while nickel CMNI3 eased 0.3% to $16,115, lead CMPB3 dropped 0.05% to $2,004.5 and tin CMSN3 fell 0.3% to $29,440.
SHFE aluminium SAFcv1 lost 0.4% to 20,385 yuan a ton, tin SSNcv1 fell 1.1% to 248,070 yuan, zinc SZNcv1 declined 1.3% to 25,565 yuan, lead SPBcv1 dropped 0.9% to 17,380 yuan while nickel SNIcv1 advanced 0.8% at 128,590 yuan.
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($1 = 7.2754 Chinese yuan)
Reporting by Neha Arora; Editing by Sumana Nandy
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