LONDON (SHARECAST) - Copper futures have hit their lowest mark since 2008 after a China factory index signalling contraction fuelled rumours that demand for metal will fall amid signs of economic slowdown. The commodity fell 7.32% to $3.49 per pound on its December contract. Early indications show a contraction in Chinese manufacturing, with the preliminary reading of an index of purchasing managers in China coming in at 49.4, with a reading of 50 or below indicating contraction. On the London Metal Exchange the most widely traded copper futures contract has fallen 7.5% to $7,674 per metric ton in just three months. Gold and silver December contracts also both fell: gold 3.67% to $1,741.70 per ounce and silver 9.61% to $36.58 per ounce. Oil wasn't looking much better, with the crude oil November contract falling 6.3% to $80.51 per barrel, a six-week low. With the dollar index up 1%, the currency's strength only served to add pressure to crude prices. Natural gas was down just 0.67% to $3.7 per million British thermal units.

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