Top Stories
Top Stories
Wires

METALS-Copper edges up on U.S.-China trade deal hopes

Mai Nguyen

(Adds quotes, updates prices)

SINGAPORE, June 27 (Reuters) - Copper ticked up on Thursday but in a tight range as investors were cautious ahead of a weekend meeting between U.S. and Chinese presidents on their prolonged trade dispute.

The United States and China have agreed to a tentative trade truce ahead of a meeting between leaders of the two nations at the G20 summit this weekend, the South China Morning Post reported on Thursday, citing sources.

U.S. President Donald Trump said on Wednesday a trade deal with Chinese President Xi Jinping was possible this weekend, but he stressed possible U.S. tariffs on virtually all remaining Chinese imports if disagreement continues.

"Investors are fairly cautious leading into the weekend. With the comments overnight, particularly on the U.S. side, creating a bit of uncertainty around the meeting, investors are reluctant to really do to much," said Daniel Hynes, a senior commodity strategist at ANZ.

"If there's any sign talks are back on (after the weekend), the base metals sector would be relatively buoyed. The downside is pretty well priced in for a while now so any encouraging sign ... of talks should be viewed as positive," Hynes said.

Copper is widely used in construction and manufacturing and is seen by investors as a gauge of economic health. A stand-off between the United States and China, the world's top two economies, has been hurting copper prices.

Three-month copper on the London Metal Exchange edged up 0.2% to $6,001.50 a tonne by 0333 GMT, after hitting a five-week high in the previous session on hopes of a trade deal.

FUNDAMENTALS

* CHUQUICAMATA: Unions at Chile's Chuquicamata mine have asked Codelco, the world's largest copper producer, to resubmit the offer their workers voted down last weekend, a union leader said.

* SCRAP: The port of Sanshan in southern China's Guangdong province has stopped accepting scrap metal shipments as of Thursday due to an excessive build-up of stockpile at the terminal, a port notice reviewed by Reuters showed.

* CHINA: State television reported that China would roll out more measures to cut financing costs for smaller companies, which are vital for the 1.4-billion-people nation's employment and growth amid a bruising trade war with the United States.

* RARE EARTH: Australia's Lynas Corp said it signed a 10-year loan extension on easier terms with its long-time Japanese backers, increasing its commitment to supply rare earths to Japanese customers.

* COPPER: The U.S. Environmental Protection Agency said on Wednesday it would reconsider a 2014 decision that had stopped development of Alaska's Pebble Mine, the world's biggest undeveloped copper and gold project.

* PRICES: Benchmark aluminium rose 0.2% and nickel increased 0.3%. In Shanghai, copper fell 0.5% to 47,080 yuan ($6,844.42) a tonne, zinc decreased 0.7% while nickel rose 1.4%.

* For the top stories in metals and other news, click or

PRICES

Three month LME copper

Most active ShFE copper

Three month LME aluminium

Most active ShFE aluminium

Three month LME zinc

Most active ShFE zinc

Three month LME lead

Most active ShFE lead

Three month LME nickel

Most active ShFE nickel

Three month LME tin

Most active ShFE tin

ARBS ($1 = 6.8786 Chinese yuan)

(Reporting by Mai Nguyen; Editing by Subhranshu Sahu and Gopakumar Warrier)