World Economy

Copper Up From Two-Week Low

Copper Up From Two-Week LowCopper Up From Two-Week Low

Copper prices rose on Wednesday from a two-week low, while other industrial metals also gained after the World Bank forecast solid global economic growth in 2018 and the dollar weakened, making metals cheaper for holders of other currencies.

Meanwhile, investors shrugged off weak inflation data from China, the world’s biggest consumer of metals, Reuters reported.

“Demand outside China is still strong,” said ABN AMRO analyst Casper Burgering, predicting that metals would continue to gain in the first quarter of 2018 after rising by 28% on average last year. “The Chinese economy will remain stable. As soon as we get new positive data out of China the market will react to that,” he said.

Benchmark copper on the London Metal Exchange was up 0.5% at $7,136.50 a ton after touching $7,086 on Tuesday, the lowest since Dec. 22.

US aluminum products makers sought new trade protections against Chinese imports, accusing China Zhongwang Holdings Ltd and its affiliates of evading US anti-dumping and anti-subsidy duties by shipping aluminum products through Vietnam.

The dollar weakened for the first time in four sessions, potentially boosting demand for metals by making them cheaper for non-US investors.

Benchmark zinc was up 0.2% at $3,341 a ton after concerns over supplies and falling inventories drove it on Tuesday to $3,400, its highest in more than a decade.

On-warrant stocks available to the market at London Metal Exchange-registered warehouses fell to 129,300 tons after by 9,950 tons of fresh cancellations, supporting prices. On-warrant inventories are down 35,000 tons this month.

Aluminum was up 0.8% at $2,169 a ton, nickel was 1% higher at $12,825, lead was up 1.2% at $2,576 and tin had gained 0.1% to $19,970.



Add new comment

Read our comment policy before posting your viewpoints