Shanghai Futures Exchange (ShFE) copper rallied 3.8 percent to 46,210 yuan ($6,706). Other ShFE metals held solid gains of 3 to 6 percent, as investors hunted for yield on Tuesday. In China, iron ore, rebar and coking coal all hit limit up levels as speculators bought following recent dips, while global oil prices rose to their highest since October as the market priced in a potential output cut led by the Organisation of Petroleum Exporting Countries.
"It is all about the onshore (Chinese) sentiment which has helped propel all of the base metals through yesterday's highs," said Matt France, head of institutional sales for Asia at Marex Spectron. "Overlay a positive outlook from the West around commodities asset allocation into next year and you have a perfect storm of more buyers than sellers and hopeful shorts getting flushed out along the way."