Copper gains on LME

Print this page Posted on : 07-22-2009 by recycleinme.com

London copper rose 1 per cent on Tuesday on improving economic sentiment although hopes for a recovery were tempered by gains in the dollar.

Copper for three-month delivery on the London Metal Exchange gained $52 to $5,362 at 1044 GMT, trading just off Monday's 9-month high of $5,464.75.

SENTIMENT SUPPORTIVE

''Sentiment is still supportive, and although the recent tightness has eased, people are still nervous it may come back.''

Cash copper prices flipped back into a discount, or contango, to the benchmark three-month price on Monday, having spent most of last week at a premium. On Tuesday the spread was $11 contango.

Shanghai's benchmark third-month copper futures contract closed down 1.1 per cent to 43,020 yuan ($6,299) a tonne.

LME aluminium rose $9 to $1,717.

Copper stocks in LME warehouses saw a modest 475 tonne tick up to 266,425 tonnes, enough for five to six days of world use.

Source : Business Line