BEIJING: Copper prices inched higher on Monday, supported by rising expectations of US interest rate cuts and an improving demand outlook.
Three-month copper on the London Metal Exchange climbed 0.2% to $9,966.50 per metric ton by 0116 GMT, coming off their first weekly increase in seven weeks.
The most-traded August copper contract on the Shanghai Futures Exchange added 0.5% to 80,530 yuan ($11,080.08) a ton.
Data showed US job growth slowed marginally in June while the unemployment rate rose, underscoring the view that the Federal Reserve could begin cutting interest rates in September.
Moreover, China’s improving macroeconomic outlook supported a view that copper demand is recovering in the second half, ANZ analysts said in a note.
Those two factors lent support to industrial metals prices.
Comex copper futures surged on Friday as some players bought back bearish, or short, positions to reduce their exposure due to expected shipments of copper failing to arrive in the US Comex copper futures were little moved on Monday at $4.65 a lb, a one-month peak.
Copper hits three-week high on interest rate hopes
LME aluminium edged up 0.1% at $2,537 a ton, nickel rose 0.5% to $17,430, tin rose 1.3% to $34,325, while zinc shed 0.2% at $2,995.50, lead eased 0.2% to $2,232.50.
SHFE aluminium was unchanged at 20,395 yuan a ton, nickel moved 1.1% to 138,640 yuan, tin was up 2.1% to 281,920 yuan, zinc was listless at 24,735 yuan, and lead was stable at 19,695 yuan.
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