Indications about a growing U.S. economy prompted copper futures to lose value on Tuesday amid speculation that the U.S. Federal Reserve is set to reduce the amount of economy-spurring monetary stimulus measures, according to Bloomberg.
As the globe's second-largest consumer of the reddish metal, the U.S. released economic data on Monday stating manufacturing hastened last month the most in about two years. The industrial metal is sensitive to international and domestic financial and economic developments due to its myriad uses in construction, manufacturing and additional industry. The U.S. trails only China for consumption of the reddish metal.
"Good manufacturing numbers turn into bad news for metals as long as the Fed holds the tapering cards," states a Tuesday email authored by senior director Michael Turek with Newedge Group SA in New York, according to Bloomberg.
At 9:48 a.m. on Tuesday, copper futures fell 0.27 percent, a 0.00856-cent loss to $3.174 per pound.
Reuters reports factory production in China, which consumes an estimated 40 percent of the globe's supply of the base metal, remained steady last month. That helped curb copper's losses during the Tuesday trade session.
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