US MIDDAY: copper soars on initial buying

COMEX copper futures leaped to 7-3/4-year highs at Tuesday's open, then sat at the high levels as New York traders played catch-up with London prices.
Traders said much of the initial buying was due to short-covering, but some new buying emerged, despite concerns that copper has overextended its upside reach.
The New York Mercantile Exchange was closed on Monday for the US Presidents Day holiday and when trading resumed on Tuesday, traders said, there was a scramble to chase surging London copper, which raced to its highest level since November 1995.
Benchmark March copper steadied with 4.85-cent gains at $1.2920 a lb., its latest peak since May 1996 on a continuation chart. The session range was $1.2550 to $1.30 per lb.
Traders said COMEX copper volume was moderate, but slowed to a trickle after the initial burst of short-cover buying.