MELBOURNE: Shanghai Futures Exchange copper fell 0.9 percent to 48,680 yuan ($7,096.21) a tonne on Thursday after China’s overseas investment weakened and sentiment waned over demand in the world’s top copper user, but prices were supported on the prospect of lengthy supply disruptions in Chile and Indonesia.

China’s non-financial outbound direct investment slumped in January and its offshore property purchases plunged after authorities tightened restrictions on capital outflows to support the ailing yuan currency and ease pressure on the country’s foreign exchange reserves.

Underpinning prices, a strike at BHP Billiton’s huge Escondida mine in Chile and a lack of permits for exports from Freeport McMoRan’s Grasberg mine in Indonesia are chipping away at mine supply that is expected to be in a small surplus this year.—Reuters