Copper saw a steep decline on Thursday as mounting economic concerns around the globe raised worries about demand, according to The Associated Press.
Copper is one of the most important industrial metals, tying it tightly to economic output. With the ongoing debt crisis in the euro zone and apparent economic slowdowns in the U.S. and China, demand for the reddish metal could slow down.
Over the course of trading on Thursday, copper futures for December delivery fell 20.05 cents to $3.0575 per pound, a 6 percent decline.
Reuters reports that the prices are beginning to affect production, with Chinese copper smelters slowing output for a lack of supplies. This shortage has emerged at least in part because lower prices have pushed scrap sellers away from the market.
Copper futures recovered strongly on Friday, rising 5.41 percent to $3.223 per pound as of 10:34 a.m., a gain of 16.55 cents.
Reuters reports that the prospects of a resolution in Europe could benefit industrial metals, but many traders remain cautious with several issues still unresolved.
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