Concerns about the economic stability of the euro zone pulled down copper futures on Monday as the base metal dropped to its lowest value in 120 days, according to Reuters.
In exchange for member nation Cyprus being awarded a bailout worth 10 billion euros over the weekend, regional finance ministers insisted nationals pay as much as 9.9 percent on the deposits as tax. But members of the nation's parliament are set to cast votes on the proposal on Monday.
"Cyprus will impact metals. The repercussions haven't even been fully priced into forex and bond markets yet. The Cypriot parliament has to vote still, difficulties in Cyprus could spread. This is what markets are now pricing in after weeks of more settled conditions, or complacency arguably," analyst Stephen Briggs with BNP Paribas told the news source on Monday.
At 12:16 p.m. on Monday, copper futures fell 2.24 percent, a 0.0775 loss to $3.4415 per pound.
Bloomberg reports the industrial metal's losses on Monday set the tone for other base metals that were impacted by the news about the euro zone.
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