TG: Eyes on copper as barometer of global economic health
Softer demand in China, investor caution and dollar strength could drag price down further, one analyst suggests
COMMODITIES:
Investors will be keeping an eye on copper prices to determine the health of the global economy and the ability of China to orchestrate a soft landing as it attempts to cool an overheated real estate sector.
“A decrease in commodity imports [by China] represents seasonal patterns and suggests some moderation in Chinese industrial activity in May, but not as weak as the recent commodity market sell-off would suggest,” said Bart Melek, a global commodity strategist with BMO Nesbitt Burns Inc.