At the London Metal Exchange LME copper price decreased by $12/t to $8,728/t compared to last Friday, according to Translom.
Negative influence on the futures market of metals was made by strengthening of the US dollar on the background of statements of representatives of the Federal Reserve on the dynamics of the key rate and premature weakening of the monetary policy. Volatility was also added to the market by the expectation of the key inflation marker in the U.S. at the end of the week.
Copper prices were supported by the discussion of the reduction of copper cathode production in China by 5-10% by the end of the year.
From a macroeconomic perspective, traders raised their forecast estimates for the start of the key rate cut in June from 55%, to 75%. At the same time, the Atlanta Fed President, pointing to continued high inflation, worsened his key rate forecasts and said he expects only one quarterly cut, instead of the two previously announced. Metal markets were speculatively influenced during the week by the anticipation of US consumer spending (PCE) data and the final estimate of fourth quarter GDP.