US copper futures at the New York Mercantile Exchange's Comex division edged higher on Wednesday on the back of better-than-expected US economic data. Active may copper rose 1.95 cents to $3.8260 a lb by 10:02 am EDT (1402 GMT). Range from $3.7665 to $3.8475.
Futures volumes estimated at 3,363 lots by 9:00 am. Copper up on wave of economic optimism after report showed US private employers unexpectedly added 8,000 jobs in March. Revised February figures showed a loss of 18,000 jobs. Attention now turns to Friday's non-farm payroll report, which is expected to show a fall of 60,000 in March jobs.
Copper rise bucks continued concerns about economic prospects in the United States. The dollar surrendered gains against the euro on Wednesday after Federal Reserve Chairman Ben Bernanke told Congress the US economy could contract in the first half of 2008.
New York trade, the euro was up 0.1 percent against the dollar at 1.5630. Continued strike at Grupo Mexico's Cananea copper pit will push back the company's plans to reach full output by May. Southern Copper, a unit of Grupo Mexico, expects to invest about $1.3 billion in Peruvian copper project, Los Chancas CEO.
Southern expects to produce 650,000 tonnes of copper this year, up from 592,000 tonnes last year. Chile's Supreme Court reviewing pleas from state-owned Codelco to overturn government mandate to hire thousands of subcontracted workers. High copper prices should keep labour problems rumbling in Chile for the foreseeable future analysts.
London Metal Exchange-monitored warehouse stocks rose 725 tonnes at 112,075 tonnes on Wednesday. Levels are down nearly 45 percent since January. Comex stocks were flat at 11,931 short tons on Tuesday. Copper for delivery in three months on the London Metal Exchange last traded at $8,400 a tonne, up $100 from Tuesday's close.