HANOI, June 18 (Reuters) – London copper prices were set for their worst week since March, pressured by China\u2019s plan to sell reserves, and a firm dollar buoyed by the prospect of U.S. interest rate hikes.<\/p>\n
Three-month copper on the London Metal Exchange fell 0.4% to $9,282 a tonne by 0149 GMT on Friday, down 7.2% so far in the week.<\/p>\n
The most-traded July copper contract on the Shanghai Futures Exchange dropped as much as 2.9% to 67,110 yuan ($10,412.08) a tonne, its lowest since April 15 and also set for a weekly drop.<\/p>\n
The dollar was headed for its best week in nearly nine months as investors have scrambled to price in a sooner-than-expected ending to extraordinary U.S. monetary stimulus in the days after a surprise shift in tone from the Federal Reserve.<\/p>\n
A stronger dollar makes greenback-priced metals more expensive and less appealing to holders of other currencies.<\/p>\n
Earlier this week, top metals consumer China announced a plan to sell state reserves of copper, aluminium and zinc, in an effort to curb a strong price rally in commodities.<\/p>\n
* LME aluminium fell 0.2% to $2,396 a tonne, while nickel rose 1% to $17,350 a tonne. ShFE aluminium dropped 1.3% to 18,475 yuan a tonne, zinc shed 2.7% to 22,020 yuan a tonne and lead declined 1.4% to 15,095 yuan a tonne.<\/p>\n