LME Copper Inches Up, Aided by Weaker US Dollar

On March 24 (Monday), LME copper futures edged higher in early Asian trading, boosted by a weaker US dollar, but concerns over economic growth limited the market's gains. Three-month copper rose 0.8% to $9,929.5/mt. The US dollar index was below a three-week high as traders awaited clarity on US trade policy. A softer dollar typically means that for buyers holding non-dollar currencies, commodities priced in dollars become cheaper. ANZ Research said in a report that traders were concerned that US trade policy could harm global economic growth prospects. "Global economic growth is expected to slow, with the US leading this trend." Data from the US Commodity Futures Trading Commission (CFTC) showed that as of March 18, speculators increased their net long positions in COMEX copper futures and options by 8,739 contracts to 22,403. In other base metals, three-month aluminum rose 0.3% to $2,630/mt, three-month lead gained 1.07% to $2,038/mt, three-month zinc climbed 0.5% to $2,942.5/mt, three-month tin advanced 0.5% to $34,670/mt, and three-month nickel rose 0.3% to $16,105/mt.