Copper prices in London rose on Thursday, helped by a weakening dollar and hopes of higher demand for metals on the back of a $ 2 trillion US infrastructure offer.
Three-month copper on the LME rose 0.8% to $ 8,989 a tonne as the dollar hovered around more than a two-week low, making USD-denominated metals more attractive to holders of other currencies.
US President Joe Biden is expected to meet with lawmakers in the coming weeks on his proposed infrastructure bill, which is expected to boost demand for industrial metals.
Meanwhile, May copper, the most traded on the Shanghai Futures Exchange, closed 0.4% lower at 66,850 yuan ($ 10,207.98) a tonne, down to 66,310 yuan a tonne earlier in the session itself. low level from 2 April.
Copper premium in Yangshan fell to $ 54 per tonne, the lowest level since November 27, indicating weakening demand for imported metal from China, the largest consumer.
Copper stocks in London Metal Exchange approved warehouses rose to 150,325 tonnes, the highest level since November 26, while ShFE stocks stood at 188,359 tonnes, the highest since September 18.
ANZ analysts note that sentiment has been weakened by signs that the Chinese government is seeking to suppress asset bubbles.
“However, any weakness in China could be mitigated by strong growth in the United States,” analysts said, adding that in terms of infrastructure, demand for industrial metals such as copper should skyrocket.
* Aluminum on the London Metal Exchange rose 0.6% to US $ 2,273.50 / t, zinc rose% to US $ 2,860.50 / t and lead fell 0.1% to US $ 1,991. USD 50 per ton.
* Nickel ShFE rose 0.9% to 126,690 yuan / ton, tin fell 1% to 183,100 yuan / ton and zinc rose 0.8% to 22,020 yuan / ton.
Source: Reuters (Mai Nguyen Report; Additional Report by Tom Daly; Editing by Subhranshu Sahu and Uttaresh V; Editing by Pravin Char)