Oct. 25 (Bloomberg) -- Copper fell for the first time in three sessions as concerns escalated that European leaders are struggling to resolve debt woes.
Equities and the euro dropped after the U.K. said a meeting of European Union finance ministers that was scheduled for tomorrow was canceled. U.S. consumer confidence unexpectedly slumped in October to the lowest since March 2009, when the economy was in a recession, while home prices in 20 cities fell more than forecast in August, reports showed today.
“Investors’ perception has become very shaky after the euro zone canceled the meeting of finance ministers,” Phil Streible, a senior market strategist at MF Global Holdings Ltd. in Chicago, said in a telephone interview. “The macro data also weighed on the market.”
Copper futures for December delivery fell 0.8 percent to settle at $3.4205 a pound at 1:23 p.m. on the Comex in New York. The metal surged 13 percent in the previous two sessions after a report showed manufacturing probably expanded in China, the world’s largest consumer.
Copper has declined 27 percent from a record $4.6575 on Feb. 15 amid concern that Europe’s debt crisis would cripple the global economy, curbing metal demand.
“The situation in Europe remains front and center,” RBC Capital Markets LLC said in a report.
On the London Metal Exchange, copper for delivery in three months fell 1.4 percent to $7,530 a metric ton ($3.42 a pound).
Zinc, tin, nickel and lead also dropped in London. Aluminum rose.
--With assistance from Maria Kolesnikova in London. Editors: Patrick McKiernan, Millie Munshi
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