Questions about prospects of demand from the globe's largest consumer tugged down copper futures on Wednesday as the base metal marked a second consecutive trading session of losses, according to Bloomberg.
China, also host of the globe's second-largest economy, saw new credit slip in December as compared to the same period one year prior. The Asian nation accounts for an estimated 40 percent of the globe's supply of copper, which is sensitive to worldwide and domestic economic and financial developments due to its widespread use in manufacturing, construction and additional industry.
"Slowing credit growth in China obviously raises the question about how robust demand will be over the coming months," head of commodity strategy Ole Hansen with Saxo Bank A/S in Copenhagen told the news source on Wednesday. "The dollar has turned stronger again, which is creating some problems for metals in general."
At 9:28 a.m. on Wednesday, copper futures edged down 0.31 percent, a 0.0105-cent loss to $3.3255 per pound.
Reuters reports Chile's production of the reddish metal is forecast to climb past 6 million tons this year, according to a mining association.
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