LONDON, Feb 4 (Reuters) – Copper and aluminium prices nudged higher on Friday, helped by a weaker dollar and thin inventories, but investors were concerned that central bank rate hikes may curb growth and metals demand.
Three-month copper on the London Metal Exchange (LME) edged up 0.1% to $9,838.50 a tonne by 1100 GMT, putting it on track for a gain of more than 3% this week.
The European Central Bank (ECB) was more hawkish than expected on Thursday, while the Bank of England also raised interest rates. read more
Register now for FREE unlimited access to Reuters.com
“The question in peoples’ minds is what kind of impact will it have on the economic outlook,” said Ole Hansen, head of commodity strategy at Saxo Bank in Copenhagen.
“That growth concern is keeping the market from rallying, where there is underlying strong appetite for commodities both from real buyers but also from speculators and investors.”