Base Metals Preview: Copper Seen Recovering From 16-Month lows

24 Jun 2022 , 08:53 AM

Copper is seen recovering near fresh 16-month lows touched overnight on surging concerns of a global slowdown amid rate hikes across world central banks that could reduce demand for metals. US Federal Reserve chair Jerome Powell on Wednesday said he is committed to bringing inflation under control even at the risk of an economic downturn. Meanwhile, S&P Global Manufacturing PMI plunged to 52.4 (flash) in June from 57 in May, missing the market expectation of 56. This report revealed that the business activity in the manufacturing sector expanded at a much weaker pace in early June than it did in May. The Composite PMI declined to 51.2 from 53.6. Copper for delivery in July is up more than 1% from Wednesday, at $3.77 per pound, although the red metal stays near its lowest since February 2021. Powered by Commodity Insights