Copper slides to 8-week low after more soft data from China

Copper added to four straight weeks of declines after economic data from China highlighted continued weak spots in the metal’s biggest market.

Copper fell 0.9 per cent to US$9,655 a ton by 2:42 p.m. in Shanghai, heading for its lowest close on the London Metal Exchange in two months. The world’s second-biggest economy released figures on Monday that bolstered concerns over a disappointing demand recovery. While retail sales were stronger in May, industrial output and fixed-asset investment both posted slower growth, and the housing slump deepened.

President Xi Jinping’s government has rolled out various measures to steady growth and stabilize the property sector, but Monday’s data triggered calls for more powerful action. Declines in real estate investment and home prices both gathered pace in May.

“The Chinese property sector continues to weaken despite a series of easing policies,” said Wang Yingying, an analyst with Galaxy Futures Co. “People are very pessimistic about the property market.”