Market sentiment remains subdued LME copper prices are lower

However, traders said sentiment in the base metals market remained subdued as consumers and producers waited to see how demand would perform
in the coming weeks and months.

At 17:00 London time on March 5 (01:00 Beijing time on March 6), three-month LME copper fell by $10, or 0.
18%, to settle at $
5,674 a tonne.
Copper prices are often seen by investment funds as a bellwether
of global economic conditions.

One copper trader said: "The spot market is on the sidelines, with trading dominated by funds that react to macro triggers
.
He added that the market is waiting for data reflecting the state of manufacturing and construction activity in China, the
largest consumer of metals.

While most base metals rose, copper prices moved lower
as confirmed cases in the U.
S.
and European stocks regained their decline.

As the impact of the pandemic on the economy expanded, policymakers around the world stepped up monetary support, and the US Federal Reserve (Fed/FED) urgently cut interest rates by 50 basis points
.
Analysts at Bank of America Global Research said in a note that the current uncertainty remains a headwind
.
At the same time, global activity should rebound
as coronavirus cases in China and the Western world finally peak, logistics normalize, and fiscal and monetary stimulus measures are implemented.

Base metals were partially supported by a weaker dollar, which made commodities cheaper for investors holding other currencies, boosting demand
.

In other base metals, three-month aluminum fell $6, or 0.
35 percent, to settle at $
1,720 a tonne.
Three-month nickel rose $210, or 1.
66 percent, to settle at $
12,890 a tonne.