Copper futures finish April with steep losses

Copper futures fell on international exchanges Wednesday, extending the losses from one of the worst months for the commodity in almost a year and setting the stage from a drop in domestic prices when Chinese markets reopen Thursday.

The three month copper contract on the London Metal Exchange (LME) was down 1.8 percent Wednesday at $6,910 per ton as of 7:04 pm Beijing Time.

The benchmark contract shed more than 6 percent of its value in April, its largest loss since May 2012, according to Reuters.

By comparison, the most-traded copper contract on the Shanghai Futures Exchange (SHFE) fell 5.58 percent in April, partially because the contract didn't trade during the last two days of last month due to the Labor Day holiday.

In fact, SHFE copper went on a run last week, rising 2.09 percent.

Copper prices fell Wednesday after China released its official April purchasing manager's index (PMI), a much followed gauge of manufacturing in the country, which fell to 50.6 from 50.9 in March.

"Demand remains lukewarm as shown by the overcapacity problems facing the manufacturing sector and still falling [producer price index] inflation," according to a note from the Australian bank ANZ. "Prior to the PMI's release, China's Ministry of Industry and Information Technology (MIIT) stated that the industrial sectors are struggling for recovery due to insufficient demand and lack of investment."

Along with most major commodities, gold futures fell early Wednesday, though less than copper.

The most-traded June Comex gold contract was down 0.3 percent at $1,468.10 as of 7:04 pm Beijing Time.