Metals-Copper climbs as Fed hike clears uncertainty
XLB•Other metals move mixed on LME and SHFE
Oil hit its lowest in over one week, even after the US and Iran exchanged new threats on Sunday amid a stalemate. US President Donald Trump said he would be open to meeting President Masoud Pezeshkian, who is expected to be in New York this week. The war has weighed on copper prices by threatening to dampen global economic growth.
Among LME metals, aluminium CMAL3 dipped 0.27%, zinc CMZN3 gained 0.52%, lead CMPB3 added 0.21%, nickel CMNI3 gained 0.64% and tin CMSN3 ticked 0.05% higher.
On the SHFE, aluminium SAFcv1 lost 0.57%, zinc SZNcv1 gained 0.7%, lead SPBcv1 gained 0.61%, nickel SNIcv1 dipped 0.1% and tin SSNcv1 gained 0.88%.
($1 = 6.6957 Chinese yuan renminbi)
Copper edges up as rate uncertainty fades
Copper prices edged up on Monday, as last week's interest rate hike by the US Federal Reserve dispelled months-long uncertainty over rates, while optimism persisted over strong China demand.
Benchmark three-month copper CMCU3 on the London Metal Exchange was up 0.06% at $14,530.5 a metric ton by 0300 GMT. Earlier, the price hit $14,600.50 a ton, its highest since September 10, when it hit a peak of $14,875. The most-traded copper contract on the Shanghai Futures Exchange SCFcv1 edged 0.37% higher to 109,940 yuan ($16,419.49) a ton.
China demand and holiday replenishment add support
Strong demand in China continues to support prices. The Yangshan copper SMM-CUYP-CN, a gauge of Chinese demand for imported copper, finished last week at $124 a ton, its highest in nearly four years.
Expectations for inventory replenishment ahead of next week's National Day holiday in China also offered price support, according to the Everbright Futures analysts.
