Copper set for fourth weekly gain on rising hopes of US-Iran deal

Copper eased on Friday, pressured by a firmer dollar, although rising hopes of a peace deal between the United States and Iran kept prices on track for a fourth straight weekly gain. The most-traded copper contract on the Shanghai Futures Exchange closed daytime trade down 0.04% at 102,290 yuan ($14,986.23) per metric ton, posting a weekly gain of 4.1%. The contract climbed above the key psychological level of 100,000 yuan earlier this week after a month. Benchmark three-month London Metal Exchange (LME) copper shed 0.22% to $13,241.5 per ton by 0708 GMT, but was up 3.1% so far this week. It touched its highest since March 2 at $13,392.5 on Wednesday. The U.S. dollar strengthened, pressuring prices of the red metal used in power, construction and manufacturing. A stronger dollar makes commodities denominated in the greenback less affordable for investors using other currencies. However, hopes grew this week for a solution to the U.S.-Iran war, easing concerns over inflation and a global economic slowdown fueled by energy shocks, supporting copper prices by improving the demand outlook. U.S. President Donald Trump expressed confidence that an agreement could soon be reached to end the Iran war. Copper is widely considered a bellwether for the health of the global economy. Meanwhile, nickel prices rose on Friday to hit an 11-week high, supported by expectations of reduced supply after major supplier Indonesia revised formula used to determine ore prices. Shanghai nickel touched its highest since January 30 at 145,160 yuan a ton and LME price hit its strongest since January 29 at $18,640 per ton. Among other SHFE metals, aluminium gained 0.71%, tin added 0.27%, zinc rose 0.44%, while lead shed 0.39%.