Industrial metals deepen retreat after mixed China economic data
Bloomberg
Iron ore fell more than 2 per cent and copper extended its recent decline after economic data from China highlighted continued weak spots — especially in its metals-intensive property sector.
The world’s second-biggest economy released a mixed bag of figures on Monday that highlighted a still-patchy recovery. While retail sales were stronger in May, industrial output and fixed-asset investment both posted slower growth, and home prices softened further.
Metals have slumped over the past month in large part because of concerns that prices had risen too far relative to demand conditions in China. Investors are looking to a major gathering of China’s leadership next month for potential policy pivots and more steps to prop up growth.
Iron ore futures in Singapore were down 2.1 per cent to $US105.25 a tonne at 10:44am local time after closing Friday with a third weekly decline. Copper, which closed Friday at a seven-week low, and aluminum both edged lower on the London Metal Exchange.
