Copper dropped as China’s manufacturing activity unexpectedly declined in october.
Copper prices dipped by -0.19% to 707.25 due to a surprising contraction in Chinese manufacturing in October. China’s PMI dropped to 49.5, dampening hopes of an economic rebound. To counter this, Beijing expanded its budget by CNY 1 trillion for manufacturing investments, aiming to boost industrial input demand and alleviate concerns about low residential construction demand. Concurrently, copper stocks at exchanges in Shanghai and London plummeted by 40%, signalling increased physical demand in Asia.