Chile: Copper prices drop amid global liquidity contraction
July 1, 2013
In June, copper prices dropped 3.4% over the previous month to an average of USD 3.18 per pound (equivalent to USD 7,000 per tonne). The decline comes amid a reduction in global liquidity, as markets increasingly fear a further slowdown in China and also internalize a possible tapering of QE in the United States in the near future. The monthly drop contrasted the 0.2% increase recorded in May.
In annual terms, average copper prices fell 5.7% in June, an improvement over the 8.4% decrease seen in May.
Consensus Forecast panellists expect copper prices to average USD 3.54 per pound this year before moderating to USD 3.42 per pound next year.