Copper keeps rising

Copper prices rose for a fifth day on Thursday and most other industrial metals also gained, helped by a weaker dollar, although concerns over demand from top consumer China after a sharp fall in Chinese share prices limited rises. Volumes were low, with Japanese markets closed for a national holiday and the United States celebrating Thanksgiving.
"Risk sentiment in markets has recovered a bit and we've seen the dollar fall back. But a looming concern would be China where we saw the stock market fall nearly 3 percent today. If that is giving a signal about the economy then metals will respond," Danske Bank analyst Jens Pedersen said. Benchmark copper on the London Metal Exchange closed up 0.1 percent at $6,963 a tonne after touching $6,984, the highest since November 7.
Copper looked ready to test resistance at $7,000 after breaking through a Fibonacci level of $6,945 a tonne, said Thomson Reuters technical analyst Wang Tao. Copper inventories in LME-registered warehouses fell 7,200 tonnes to 226,275 tonnes. Stocks have fallen almost 30 percent since mid September, pointing to tighter supply and supporting prices.
Unionized workers at Chile's Escondida copper mine, the world's largest, started a 24-hour strike on Thursday to protest against recent layoffs. Workers for the two largest unions at Southern Copper Corp in Peru started an indefinite strike, though the company said operations were unaffected. China's economy cooled in October, with industrial output, fixed-asset investment and retail sales missing expectations as the government extended a crackdown on debt risks and factory pollution. China is the world's biggest metals consumer and a key influence on prices.
Blue-chip stocks saw their worst one-day loss in nearly 18 months as investors reacted to government steps to reduce risks in the financial system. The dollar hit its weakest level in more than a month, making metals cheaper for holders of other currencies and supporting prices. Exports and rising business investment drove German economic growth in the third quarter, suggesting the upswing in Europe's largest economy would extend well into next year.
Aluminium closed up 0.3 percent at $2,113 a tonne, nickel ended 0.7 percent higher at $11,930, zinc did not trade but was bid up 0.3 percent at $3,237, lead ended down 0.4 percent at $2,454 and tin gained 0.1 percent to $19,420.