Copper accumulates a decline of 7.1% in the semester

Terrible. Thus, June could be qualified for the price of copper, the month in which the price fell by 3%, being very close to breaking the psychological barrier of $ 3 per pound to the London Metal Exchange.

It is true that the decline of today in this market was marginal: only 0.06%. However, it represents its fifth consecutive drop and its lowest point since April 4.

The fall of June is framed by worries about the dreaded trade war that China is facing with the United States, and in the dispute of the same order that Washington has with Europe and the United States. ;North America.

In this month, copper recorded fifteen falls and only five increases. It started the month at $ 3.22 and closed at $ 3.0145 US.

The main export product of the country thus accumulates a fall of 7.1% in the first half and is very close.

The fall of the red metal, the country's main export product and the first reference of the exchange rate in Chile, went hand in hand with the rise of the dollar, a trend that faded

Copper and all commodities are traded in dollars and an increase in the currency makes their acquisition more expensive.

The dollar benefited from the demand as a refuge because of trade confrontations and rising interest rates in the United States

Bloomberg The index of dollar indices grew by 5.5% this quarter, the largest increase since the last quarter of 2016.

is not only relevant for Chile and the export economies the metal, but also for the world because it serves as a reference on the pace of growth of the world economy.

The Context

Copper is not the only one to suffer. According to Bloomberg, industrial metals are heading toward the biggest monthly decline since 2016, as investors avoid most risky badets in global trading fractions.

The bear market this week because of the fear of a deterioration in demand and an increase in supply.

"The escalating global trade tensions lead to a risk of destruction of demand in commodity markets as prices rise.Mr Morgan Stanley said in a quarterly report on metals received on Friday. [19659003] While the bank raised pricing estimates for 2018, it also warned: "Risks to end-users and access to materials are limited." Demand accumulates, our platform price remains therefore characterized by the weakening of the outlook on most commodity markets icos in 2019. "