Copper at week’s high on US demand prospects

Print this page Posted on : 12-17-2009 by recycleinme.com

London, Dec. 16

Copper soared to a one- week high on Wednesday as investors bought on improved industrial activity and expectations of stronger demand in the US, the world’s largest economy.

Benchmark copper on the London Metal Exchange hit $ 7,007.50 a tonne, the highest since Dec. 8. The metal used in power and construction was trading at $ 6,978 a tonne at 1056 GMT compared with $ 6,895 at the close on Tuesday.

Stocks of copper in London Metal Exchange warehouses surged 84 per cent to above 473,000 tonnes since the middle of July when Chinese buying petered out. Traders are also watching stocks of aluminium which saw another hefty inflow on Wednesday, taking the total to 4.625 million tonnes, a whisker from the record high of 4.629 million tonnes hit in September.

ALUMINIUM UP

Aluminium was trading at $ 2,282 a tonne from $ 2,233 at the close on Tuesday and stainless steel ingredient nickel was at $ 17,304 from $ 16,900 a tonne.

Stocks of nickel at 146,856 tonnes are the highest since January 1995 and expected to cap prices, which hit $ 17,475 a tonne the highest since November 18. Battery material lead was at $ 2,390 a tonne from $ 2,360, zinc was at $ 2,406 and tin at $ 15,350 from $ 15,325 on Tuesday.

Source : Business Line