Base Metals Preview: Copper Slides On China Worries

3 Nov 2022 , 08:50 AM

Copper slumped as dollar regained strength on the back of Fed massive rate hike coupled with reports of weak data and COVID situation from China. Chinas services activity contracted again in October as COVID-19 containment measures hit businesses and consumption, overshadowing the economic rebound in the last quarter, a private-sector business survey showed on Thursday. The Caixin services purchasing managers index (PMI) fell to 48.4 last month, the lowest since May, from 49.3 in September as rising COVID caseloads led to worsened disruptions and weighed on consumer confidence. Meanwhile, Chinese authorities imposed lockdowns on 600,000 people in the area surrounding the worlds largest iPhone factory on Wednesday, as workers complained of disorderly Covid controls at the facility. COMEX copper is currently quoting down more than half a percent at $3.44 per pound. Powered by Commodity Insights