London copper prices fell on Tuesday, after a five-session winning streak, as conflicting signals over the trade dispute between the United States and China weighed on sentiment.
Deep divisions between Washington and Beijing at a summit of Asia-Pacific leaders in Papua New Guinea on Sunday have tempered expectations of a resolution in the U.S-China trade war.
The failure of the Asia Pacific Economic Cooperation (APEC) summit at the weekend to agree on a communique was down to certain countries “excusing” protectionism and trying to force their views on others, a senior Chinese diplomat said on Monday.
“Trade tension… remains a headwind for the sector. The failure of countries at the APEC meeting to agree to a joint statement raised concerns that the relationship between China and the US remains hostile,” ANZ said in a note.
FUNDAMENTALS
* Three-month copper on the London Metal Exchange fell 0.3 percent to $6,240 a tonne by 0131 GMT. Shanghai’s most-traded copper contract rose 0.4 percent to 49,880 yuan ($7,183.59) a tonne.
* U.S.-CHINA: China’s Foreign Ministry said on Monday the United States, whose delegation at the summit was led by Vice President Mike Pence, attended APEC in a “blaze of anger”, and that China had not gone to “get into a boxing ring”.
The angry rhetoric comes ahead of the next major international summit, the G20 in Argentina which starts at the end of the month, where U.S. President Donald Trump and Chinese President Xi Jinping will meet.
* Nickel: A Brazilian court has ordered Vale SA, , one of the world’s top nickel producers, to stop its mining iron or nickel at its Onça Puma unit and pay damages to two indigenous tribes in the area.
* Prices: London aluminium edged up 0.1 percent to $1936,5 a tonne, while nickel rose 0.3 percent from Monday’s close of lowest in nearly and zinc fell 0.3 percent.
