Copper on waiting mode ahead of Fed statement

The price of copper was relatively steady on Wednesday (June 17), as markets waited to hear from the chair of the Federal Reserve, Janet Yellen, and the Fed's latest policy statement.

Spot copper was down 0.05% at US$2.608/lb on the London Metal Exchange from Tuesday's US$2.609/lb, according to Chilean state copper commission Cochilco.

"With regard to today's Fed meeting, participants are keen to hear what the Fed will say (or not say) about its rate hike timing (now widely thought to be around September)," Edward Meir from INTL FCStone wrote in a note.

The result of the US Federal Open Market Committee is likely to influence the value of the dollar, and, in turn, the direction of dollar-denominated copper prices.

"Also of interest is the Fed's assessment of the economic bounce we have seen so far in Q2," the note added.

Aluminum closed up 0.9% in London to US$1,675.50/t, lead ended 0.4% lower at US$1,784.50/t and nickel rose 0.6% to US$12,850/t. Zinc was down 0.1% to US$2,080/t, tin closed 0.7% higher at US$14,625/t and molybdenum ended down 0.7% to US$15,100/t.