Copper prices drop on data, demand worries

The price of copper was down Friday on a report from the US Labor Department that consumer prices were down 0.1 percent in June, while consumer sentiment in the US was also reported lower, with the Reuters/University of Michigan consumer sentiment index at 66.5 in a preliminary survey for July, down from 76 in June, its lowest level in 11 months.

With investors still feeling concerns about data showing that China’s economic growth is moderating, worries that demand for copper will decline continued.

September copper was down 8 cents to $2.93 per pound in New York trade, while three-month contracts dropped $195 to $6,485 per tonne on the London Metal Exchange.

Other base metals prices also fell as zinc dropped $13 to $1,797 per tonne, lead was down $28 to 41,770 per tonne, alumminium was $39 lower to $2,018 per tonne, tin dropped $200 to $17,750 per tonne, and nickel was down by $450 to $18,450 per tonne.

Meanwhile, among precious metals, August gold fell $20.10 to $1,188.20 per troy ounce in New York trade, its biggest one-day decline in over two weeks as strength in the euro hurt demand for gold as a safe place for investors to put their cash.

September silver was down 57 cents to $17.78 per troy ounce, while October platinum dropped $21.60 to $1,512.10 per troy ounce.