Base metals prices down on inventory gains

Copper prices were lower Tuesday as inventories levels were key to base metals prices overall during the session.

London Metal Exchange stockpiles of copper were up 1.3 percent to 285,900 tonnes for a third straight day of gains, sending three-month copper down half a percent to $5,969.50 per tonne in afternoon trade in London after it went as high as $6,070 per tonne earlier.

Meanwhile, September copper was down a cent to $2.73 per pound in morning trade in New York.

Zinc was lower, dropping 1.1 percent to $1,823.75 per tonne as London stockpiles rose to 4,20,950 tonnes, their highest levels in nearly four years, while tin prices gained 2.1 percent to $14,681 per tonne as inventories rose to 4.56 million tonnes.

Lead prices were 1.9 percent lower to $1,913.50 per tonne and aluminium dropped 2 percent to $1,930 per tonne.

Nickel bucked the trend, adding $170 to $19,000 per tonne on supply disruptions after a strike in Newfoundland and closures for scheduled maintenance at some mines and processors in Canada.

Among precious metals, platinum and palladium were up on demand hopes after Ford Motor (NYSE: F) reported that its sales rose in July over last year’s levels, the first gain in for the auto maker in nearly two years.

October platinum added $4.60 to $1,244.30 per troy ounce and September platinum was up $2.15 to $276.75 per troy ounce in morning trade in New York.

Gold and silver were also higher in New York as December gold added $7 to $965.80 per troy ounce and September silver was up 19 cents to $14.44 per troy ounce, also in morning trade.