(Corrects closing prices for copper, zinc, nickel in paragraph
2, penultimate paragraph)
* Dollar at around 6-week high vs euro
* U.S. employers add 195,000 jobs in June, beats consensus
* Data shows investors sold commodities ETPs in June
By Silvia Antonioli and Harpreet Bhal
LONDON, July 5 Copper fell for a second day on
Friday, under pressure from a stronger dollar after data showed
U.S. employers added more jobs than expected in June and on
worries over economic growth prospects in China and Europe.
Three-month copper on the London Metal Exchange
(LME) ended at $6,789 a tonne, down more than 2 percent from
$6,950 at the close on Thursday. It had earlier dipped to a
session low of $6,730 a tonne.
Other metals also fell sharply, with nickel dropping to a
The dollar extended gains to trade at around a six-week high
against the euro after the upbeat figure for U.S. non-farm
payrolls. A strong dollar makes commodities priced in the U.S.
unit more expensive for holders of other currencies.
U.S. employers added 195,000 jobs to their payrolls last
month, suggesting the Federal Reserve would remain on track to
scale back monetary stimulus later this year.
INTL FCStone analyst Edward Meir said that, while the data
has been positive for the dollar, the metals market remained
pressured by uncertainty about the outlook for economic growth
and metals demand.
"I think base metals are still more preoccupied with what is
going on in China as opposed to the Fed," he said.
Recent weak economic data from China, the world's largest
copper consumer, has raised concerns about the outlook for
demand for the metal used in power and construction.
Concerns about Europe's economic health were also pressuring
metals prices after European Central Bank President Mario
Draghi said that growth risks there were on the downside.
"Mario Draghi's press conference yesterday showed that the
prospects for growth in Europe are still very slim, and we see
continued negative tone in the news from China where the
government seems to be well oriented to a slowdown," Eugen
Weinberg, an analyst at Commerzbank, said.
Data showed investors were net sellers of commodity
exchange-traded products (ETPs) in June after the U.S. Federal
Reserve signalled it would wind down stimulus.
In other metals, nickel closed at $13,305 from
$13,825, having earlier fallen to $13,298, its lowest level
since late May 2009. Tin ended at $18,850 from $20,000
while zinc, used to galvanise steel, ended at $1,841
from $1,861 at Thursday's close.
Lead closed at $2,030 from $2,074, aluminium
, untraded at the close, was bid at $1,768 from $1,812.
(Editing by Anthony Barker)