Economic bellwether Copper in longest losing streak in 6-yrs as China virus jitters

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Economic bellwether Copper in longest losing streak in 6-yrs as China virus jitters

On Monday, the 27th of January 2020, it had been a bloodbath for the industrial metals as China’s Wuhan Coronavirus outbreak that gathered momentum over the weekend and raised death toll to 81 over the course of last week, had been stoking a heavy blow to factory activites in China and spurring up demand concerns, while nickel nudged nearly a 6-1/2 month low figure and copper extended its losing streak to nine consecutive sessions in a row, which had been the industry-grade metal’s largest losing streak in more than six years.

On top of that, as investors’ worries had skied up following Monday’s (January 27th) update on China’s Wuhan Coronavirus outbreak, copper futures’ prices were tottered to their lowest levels in three months.

Meanwhile, adding that China was accountable for more than half of the world’s entire base metal demand, a BMO Capital analyst Timothy Wood-Dow said on Monday’s (January 27th) market round off, “On Friday, we didn't know this, it seemed quite contained.

Now this wider geographical spread is very concerning, so that's feeding through to the market. ” Citing statistics, on Monday’s (January 27th) London’s commodity market wind down, nickel futures’ prices lost 2.8 per cent to $12.615 per ton, Lead fell to a seven-month low figure of $50,025 per ton, aluminium closed the day 1 per cent lower at $1,764, while zinc and tin tumbled respectively 4.3 per cent and 3.4 per cent.

Besides, three-month copper futures’ prices in the London metal exchange shed 3.1 per cent to $5,743 per ton after falling 5.5 per cent last week, remarking its worst weekly decline in more than five years.