Base metals fall as coronavirus shutdowns widen, hit demand

[SINGAPORE] Industrial metals fell on Monday over worries that prolonged worldwide shutdowns to contain the coronavirus pandemic will hurt the global economy more than initially expected.

Three-month copper on the London Metal Exchange was down 0.7 per cent at US$4,759.50 (S$6,793.23) a tonne, as of 0201 GMT, while aluminium fell 0.1 per cent to US$1,543.50 a tonne, nickel declined 0.7 per cent to US$11,280 a tonne, zinc dropped 1.2 per cent  to 1,856 a tonne and lead lost 1.9 per cent to US$1,673 a tonne.

The most-traded copper contract on the Shanghai Futures Exchange fell 1.4 per cent to 38,480 yuan (S$7,744.81) a tonne, while aluminium declined 0.9 per cent to 11,585 yuan a tonne, nickel decreased 0.2 per cent to 91,970 yuan a tonne and lead dropped 0.6 per cent to 13,720 yuan a tonne.

US President Donald Trump on Sunday extended the stay-at-home guidelines for his country until the end of April, while a senior British medical official said some of their lockdown measures could last months.

Asian shares slid and oil prices took another tumble as fears mounted that the global shutdown for the coronavirus could last for months, doing untold harm to economies.

REUTERS

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