LME copper holds firm at $6,500

Print this page Posted on : 11-14-2009 by recycleinme.com

London, Nov. 13

Copper prices were steady above $6,500 on Friday as the dollar pared gains and stronger equity markets boosted sentiment, with investors awaiting more macro data to reassure them on demand prospects.

Benchmark copper for three-month delivery on the London Metal Exchange traded at $6,535 a tonne at 1036 GMT from a close of $6,503 on Thursday.

''The market is not too worried about weak demand because it's hoping with fingers crossed that it will emerge next year,'' said Calyon analyst Mr Robin Bhar.

The dollar edged lower on Friday, paring some of the previous day's gains and making dollar-priced metals cheaper for non-US investors.

Latest data showed LME copper stocks rose 1,500 tonnes to 403,625 tonnes, the highest since late April. In Shanghai, warehouse copper stocks hit a new 5-1/2-year high.

NICKEL STOCK SOAR

Nickel, the worst performer in the metal complex, was at $16,150 from $16,190 on Thursday, when it hit $15,975, its lowest since late July.

Stocks of nickel on the LME edged up 18 tonnes to total 131,748 - a level not seen since early 1995, putting a further damper on demand prospects.

Among other industrial metals, aluminium, used in transport and packaging, was flat at $1,948 a tonne.

Source : Business Line