LONDON: Copper held its ground after global factory growth showed a surprise pick-up in the United States but modest prospects in China and Europe, and a softer dollar cushioned prices.
Three month copper on the London Metal Exchange was unchanged at USD 6,720.75 by 0126 GMT having closed a tad firmer the session before. Prices have slipped from near six week peaks at USD 6,835.50 a tonne hit last week.
The most traded January copper contract on the Shanghai Futures Exchange edged up by 0.3% to CNY 47,470 per tonne.
Similarly, global manufacturing activity increased last month at the same modest pace as in September, suggesting the need for continued economic policy stimulus, especially in Europe.
US manufacturing activity unexpectedly accelerated in October and automobile sales were strong, easing concerns of a significant moderation in economic growth in the Q4.
On the other hand, Chile is looking to reduce regulatory delays affecting USD 6 billion worth of projects, mostly in the mining and energy sectors, to get growth back on track.
