Copper prices lower on credit concerns

Copper prices were lower Tuesday on concerns that credit market problems will slow economic growth, which could cut demand for metals.

September copper, which was also hurt by a stronger dollar that made investors worry less about inflation, was down 15 cents to $3.70 per pound in New York while three-month copper dropped $227 to $8,185 per tonne, or $3.71 per pound, in London.

Aluminium was also lower in late afternoon trade in London, where it lost $156 to $3,152 per tonne on gains in inventories.

Among other base metals, zinc was down $60 to $1,775 per tonne while tin fell $250 to $22,500 per tonne and nickel dropped $325 to $20,600 per tonne.

Lead bucked the trend of declines by gaining $10 to $1,640 per tonne.

Among precious metals, August gold was down $5.50 to $923.30 per troy ounce in New York as crude oil prices dropped significantly, reducing demand for hedges against inflation.

October platinum also declined, dropping $30.90 to $1,952.90 per troy ounce, but at last report September silver had added 4 cents to $17.96 per troy ounce.