Three month copper on the LME had dropped by 1.1 per cent at 7:20am this morning as Asian traders feared the impact of the weekend’s Basel agreement and the continuing Greek debt crisis.
The metal was down to $8,961 per tonne. Zinc was down 1 per cent to $2,232 per tonne, lead by 1.7 per cent to $2,537, and nickel lost 1.2 per cent to be at $21,880 per tonne. Aluminium was down 0.4 per cent to $2,489 and tin dropped 1.1 per cent to $24,690 per tonne.
Over the weekend, the Basel Committee on Banking Supervision agreed on additional capital rules for up to 30 of the world’s largest banks. While the Greek Parliament will this week vote on whether to accept the austerity package being put before it in an effort to halt the country’s debt crisis.
Zhongzhou Futures Co analyst Qin Yongfei said: “Metals are basically reacting to news flow in the broader economic environment. Investor confidence has been shaken by the debt crisis in Europe and the mood will stay nervous before Greece gets the money it needs.”