Copper gains over 3% on LME

Print this page Posted on : 12-16-2008 by recycleinme.com

London, Dec 15

Copper rose more than three per cent before easing back on Monday, buoyed by optimism over the Chinese economy and a weaker dollar. However, rising inventories fuelled fears of over supply.

China's State Council announced at the weekend a series of measures, including a 17 per cent increase in broader money supply, aimed at driving up growth. It follows a near $600-billion stimulus package announced last month.

The broadly weaker dollar and rising equity markets also helped give industrial metals a lift.

By 1033 GMT, copper for three month delivery on the London Metal Exchange advanced to $3,200 from $3,175 at the close on Friday and compared with a session high at $3,280. Aluminium hit $1,540 and was last at $1,510 from $1,498 on Friday. Nickel was at $10,375 from $10,650 at the close on Friday, while lead was at $1,050 from $1,018 and zinc at $1,097 from $1,065. Tin rose to $11,550 versus $11,400.

Source : Business Line