Shanghai Futures Exchange copper jumped 1.6 percent to 37,000 yuan ($5,654) a tonne on Thursday. ShFE tin rallied 4 percent, as global supplies dwindle following the closure of a major Indonesian smelter. "Copper has been quite strong recently - on the macro front, liquidity pro-growth policies from China are supporting sentiment and US data has been strong" said analyst Helen Lau of Argonaut Securities in Hong Kong.
"We saw good demand for low lead content tin ingots from Asian traders this week as traders seek material after RBT Closure," Triland, a metals broker, said in a note. The metal's technical picture continues to improve, with funds clear net buyers, Triland said.
Significant buying by consumers in a rising tide of aluminium prices suggests they're "chasing the price higher, likely having underbought in recent months," it said. On the demand side, however, Chinese sales of air conditioners, a key indicator for copper, are falling short despite promotions to bolster buying, said Lau. Additionally, there have not been any positive surprises from China's state power grid company, a major buyer, she added.
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