Aluminium, copper gain on supply fears

Print this page Posted on : 05-31-2008 by recycleinme.com

Copper and aluminium prices edged up on Friday as worries about supply shortfalls resurfaced, while tin fell sharply to a two-month low. Copper for three-month delivery was at $7,940/7,950 per tonne by 1017 GMT on the London Metal Exchange (LME), up $50 from its close of $7,890 on Thursday, when touched it $7,855 per tonne, its lowest level in two months.

Aluminium gains

Aluminium was up at $2,905/2,910 from $2,880 the previous day. The metal has been boosted this year by worries about power problems and supplies of the energy-intensive metal from China, the world's biggest producer and consumer.

Tin fell to $19,925 a tonne, the lowest since April 3. It was last at $20,700/20,900 from $21,000. Prices of the metal have fallen by 18 per cent since hitting a record of $25,500 on May 15.

''We're seeing a sharp profit-taking after a good rally,'' an LME trader said, adding the moves in the tin market could be volatile as it was more illiquid than copper or aluminium.

LME lead fell $27 to $1,925/1,945 after shedding nearly 4 per cent on Thursday. Teck Cominco said it had restarted its Trail lead refinery in British Columbia after a brief closure following a pollution spill. Zinc fell $20 to $1,960/1,980 while nickel was up $50 at $22,250/22,450.

Source : Business Line