Copper prices dipped on Friday as the dollar resumed gains on worries about high U.S. interest rates and after mixed data on China's economy, the world's top metals consumer.
Three-month copper on the London Metal Exchange (LME) CMCU3 slipped 0.2% to $7,978 per metric ton in official open-outcry trading. On a weekly basis, the contract eased nearly 1%, the second straight week of decline, and has given up about 5% over the past two weeks.
Chinese data showed exports declined less than expected in September, while total social financing (TSF) climbed to 4.12 trillion yuan ($563.91 billion) from 3.12 trillion in August, higher than analysts had expected.
TSF includes off-balance sheet forms of financing outside the conventional bank lending system.
"The Chinese export data are still negative, but compared to the prior month, it's a significant step in the right direction," said Nitesh Shah, commodity strategist at WisdomTree.
"Certainly, the government has not offered any big bazooka in terms of stimulus, so expectations should be moderated in terms of how much China can bounce back."
The dollar index .DXYheld firm after its biggest daily increase since March the day before as hot U.S. consumer prices data revived prospects that the Federal Reserve may have to raise rates further.
"Higher-for-longer interest rate narrative and consequent slower economic growth concerns are keeping industrial metals prices on a weaker footing. There could be more downside for the sector," said analyst Soni Kumari at ANZ.
Chinese real estate market concerns and rising LME copper stockpiles and mine supply from South America dented sentiment, she added.
LME aluminium CMAL3 was little changed in official activity at $2,200.50 a ton, nickel CMNI3 fell 0.3% to $18,670, zinc CMZN3 eased 0.4% to $2,439 while tin CMSN3 climbed 1.3% to $25,140.
LME lead CMPB3 dipped 0.5% to $2,044.50, with the contract down 4.6% on a weekly basis and set for the biggest weekly fall since late January.