July 21 Reuters London copper prices declined on Wednesday, as a stronger dollar up on worries around rising COVID19 cases globally dented the metals appeal.

Threemonth copper on the London Metal Exchange fell 0.6 to 9,277 a tonne by 0606 GMT. The mosttraded August copper contract on the Shanghai Futures Exchange tracked overnight gains in London to gain 0.2 to 68,030 yuan 10,505.75 a tonne.

The dollar stood on the verge of fresh yeartodate peaks, as jitters about surging infections buttressed gains built on higher interestrate expectations, with investors waiting on the European Central Bank for their next cue.

A firm dollar makes greenbackpriced metals more expensive to holders of other currencies.

However, as copper prices fell under dollar pressures, downstream buying interest in China emerged on cheaper cost to buy the metal, preventing prices from steep declines, said Huatai Futures in a note.

Yangshan copper premium rose to 40 a tonne, its highest since May 7, indicating strengthening demand for imported metal into China.

Yangshan copper premium rose to 40 a tonne, its highest since May 7, indicating strengthening demand for imported metal into China.

FUNDAMENTALS

LME nickel dropped 2 to 18,310 a tonne, aluminium shed 1.2 to 2,435.50 a tonne and tin was down 0.9 to 33,200 a tonne.

ShFE nickel declined 1.6 to 136,670 yuan a tonne and zinc fell 1.5 to 22,150 yuan a tonne. Lead jumped 1.3 to 15,820 yuan a tonne.

The global zinc market was undersupplied…