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14 Jan 2015
Metals drop after World Bank cuts growth forecasts
The base metals retreated, with Copper falling below USD 5500/ton for the first time in five years after the World Bank cut its global growth forecasts fuelling speculation of supply glut.
Copper declined as much as 6.6%, while nickel fell 2.2% after the World Bank report said the global economy will expand 3% in 2015, down from a forecast of 3.4% in June. Following the gloomy forecast, London Copper dropped USD 388 to USD 5472/ton, its lowest intraday price since July 2009. The Bloomberg Commodity Index of 22 energy, agriculture and metal products slid to the lowest level since November 2002 yesterday after dropping 17 % last year.
All other metal on the London Metal Exchange weakened, with Nickel dropping to its lowest since Feb 2014.
Copper declined as much as 6.6%, while nickel fell 2.2% after the World Bank report said the global economy will expand 3% in 2015, down from a forecast of 3.4% in June. Following the gloomy forecast, London Copper dropped USD 388 to USD 5472/ton, its lowest intraday price since July 2009. The Bloomberg Commodity Index of 22 energy, agriculture and metal products slid to the lowest level since November 2002 yesterday after dropping 17 % last year.
All other metal on the London Metal Exchange weakened, with Nickel dropping to its lowest since Feb 2014.