* ECB announces surprise rate cut to new record low
* U.S. third-quarter GDP, jobless data beat forecasts
* Indonesian tin exports rose four-fold in October
By Maytaal Angel and Eric Onstad
LONDON, Nov 7 Copper was steady on Thursday, but
other metals sank under the weight of a strong dollar following
better-than-expected U.S. growth data and a surprise European
Central Bank rate cut.
The dollar index rose to its highest level since
mid-September, making metals priced in the U.S. currency more
expensive to buyers outside the United States.
Three-month copper on the London Metal Exchange
failed to trade during closing open outcry activity and was last
bid at $7,145 a tonne, up 0.4 percent.
Copper, which hit a four-week low in the previous session,
has lost 10.2 percent so far this year.
Other metals fared worse. Tin touched the lowest in nearly
eight weeks, while zinc, lead and nickel hit the weakest in
"Metals are stuck in listless territory, pressured lower by
excess supply, a stronger dollar and perceptions that global
growth, while improving, still does not seem strong enough to
sop up the excesses seen in a number of base metals," analyst
Edward Meir at broker INTL FCStone said.
The dollar got a boost from data showing the U.S. economy
grew by a faster-than-forecast 2.8 percent annual rate in the
third quarter, the quickest pace since the third quarter of
2012, while a shock rate cut by the European Central Bank
undermined the euro.
The latest U.S. numbers, combined with Friday's nonfarm
payrolls report, will help investors gauge the timing of a
Federal Reserve move to begin winding down its $85
billion-a-month bond-buying programme.
"The main number will be tomorrow's U.S. job figures. In
general the mood is a little bit soft. Demand is there but not
in big tonnages, and we have mixed news. I think prices can
still come off a bit further in the next few weeks," said Herwig
Schmidt, head of sales at Triland.
In China, leaders will start a four-day meeting on Saturday
to set a reform agenda for the next decade as they try to steer
the economy towards more sustainable growth after three decades
of breakneck expansion.
Third-quarter metals demand from top consumer China was
good, and financing demand remains strong, but a wall of supply
from this year will keep copper prices in check, analyst Ivan
Szpakowski of Citi in Singapore said.
"We've been bearish, and that hasn't changed," he added.
In industry news, the LME revised a proposal to fix backlogs
in its warehouse network, mandating shorter queues and
announcing a review of its agreement with warehouse owners.
In other metals, tin closed down 0.6 percent at
$22,695 a tonne, having earlier hit its lowest point since
mid-September at $22,426 a tonne.
Refined tin shipments from top exporter Indonesia rose to
3,314.05 tonnes in October, more than quadrupling from the
785.99 tonnes in September but down 70 percent from October
"Because the coming months are likely to see increased
trading volume and thus increased exports, the supply situation
on the global tin market should ease again somewhat,"
Commerzbank said in a note.
"Initially, this could preclude any significant rise in tin
prices. At the same time, however, the average production costs
of $22,000 per ton should prevent any noticeable fall in
prices," it added.
Aluminium was barely changed, closing down $1 or
0.06 percent at $1,821 a tonne, but lead, zinc and nickel hit
the weakest levels since Oct. 16.
Lead ended down 0.7 percent at $2,144 a tonne after
hitting a low of $2,131.25. Zinc finished 0.5 percent
lower at $1,904 and nickel gave up 0.8 percent to
Three month LME copper
Most active ShFE copper
Three month LME aluminium
Most active ShFE aluminium
Three month LME zinc
Most active ShFE zinc
Three month LME lead
Most active ShFE lead
Three month LME nickel
Three month LME tin