US copper futures closed higher on Friday, maintaining momentum near this week's 14-month high, with supportive supply-side issues in Chile, the world's biggest supplier, off-setting the bearish impact of a stronger dollar. Copper for December delivery rose 2.70 cents to settle at $3.1080 a lb on the New York Mercantile Exchange's COMEX division. Range from $3.0515 to $3.1145.
On Wednesday, December hit $3.1720, highest level since late September 2008. COMEX estimated futures volume at 29,470 lots by 1 pm EST (1800 GMT). Final volume on Thursday was 33,371 lots. Open interest down 880 lots at 150,059 contracts as of November 19.
Threats of widespread labour action against BHP Billiton's mining operations in Chile holding copper prices up, in spite of a strengthening dollar and rising inventories - Bart Melek, Global Commodity Strategist with BMO Nesbitt Burns in Toronto. Striking workers at Chile's Spence copper mine agree to resume wage talks with owner BHP. Dollar up for a second straight session Friday as fading risk appetite boosts safe-haven demand for the currency.
London Metal Exchange inventories grew by 1,325 tonnes to total 421,875 tonnes, up 60 percent since the middle of July and their highest since April. Shanghai warehouse stocks rose 2.3 percent to 107,405 tonnes from 104,939 tonnes one week ago. COMEX copper warehouse stocks climbed 1,478 short tons to 76,210 short tons as of Thursday. Japanese copper wire and cable shipments dropped 14.3 percent year-over-year to an estimated 61,000 tonnes in October. LME three-month copper bid at $6,845 a tonne, up from $6,790 a tonne at the close on Thursday.