Copper prices fell for a second day on fears that demand will slow if China raises interest rates to cool inflation, in addition to worries over ongoing risks in Europe, Bloomberg reported. Three-month delivery copper declined as much as 0.9% to US$6,990 a ton before trading at US$7,015 a ton on the London Metal Exchange. Aluminum, lead and nickel also fell. Copper for August delivery in Shanghai dropped as much as 0.3% to US$8,134 (RMB55,550) a ton and last traded at US$8,144 (RMB55,620). China – the world’s biggest metals user – released figures yesterday that showed record property prices in April, while consumer prices saw the largest increase in 18 months. Meanwhile, China’s benchmark equity index declined amid concerns that the government will raise borrowing costs and introduce more housing curbs.
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