Tin was the only metal to weaken so far this morning, while the rest of complex pushed higher.
The most-traded May copper contract on the SHFE stood at 52,180 yuan ($8,248) per tonne as of 10.58am Shanghai time, up by 0.8% or 440 yuan per tonne compared with Tuesday’s close.
The base metals are benefiting from a continued weakness in the dollar.
The dollar has steadily declined this week with the index recently at 89.61, this compares with a reading of 89.93 at roughly the same time on Tuesday and down from a high of 90.37 on March 9.
“Industrials were stronger, with the weaker USD helping investor appetites in the base metals sector. Positive fundamentals also helped support the sector,” ANZ Research said on Wednesday.
Support for copper prices is being seen in an uptick in Chinese demand as well as a potential tightening of global supply amid a wave of labor negotiations taking place at several of the world’s leading mines this year and China’s clampdown on copper scrap imports.
“Evidence suggests that Chinese demand for copper has picked up recently. Physical premiums have firmed, with end-users looking to restock their inventories and traders wanting to secure material for financing activities,” Metal Bulletin analyst Boris Mikanikrezai said.
On the macroeconomic front, better-than-expected releases from China this morning has boosted sentiment for the base metals – see data section below.
Other metals higher; tin bucks trend
Currency moves and data releases