Shanghai copper gains

The most-traded June copper contract on the Shanghai Futures Exchange gained 1.1 percent to 45,050 yuan ($7,300) ($7,200) a tonne on Tuesday as risk assets gained favour on a slight easing of tensions over Crimea, forcing covering of short positions. But some copper users said they were holding off fresh orders, suggesting the price gains may not sustain.
"Certainly short-covering has been a dominant factor recently considering the extent of the fall," said Mark Keenan, analyst at Societe Generale in Singapore. Fears about slowing growth in China and the potential for financing deals to unravel has been a powerful factor souring sentiment towards copper, but going forward traders will be focusing again on the strength of global growth, Keenan said.