On May 21 (Wednesday), copper futures on the London Metal Exchange (LME) rose, supported by a weaker US dollar and improved demand prospects. However, the gains in copper prices were limited due to ongoing uncertainties about economic growth stemming from tariffs.
At 17:30 Beijing time, LME three-month copper futures rose by 0.20% to $9,539 per mt.
The US dollar weakened on Wednesday, extending its two-day decline against major currencies, making dollar-denominated commodities cheaper for buyers holding other currencies.
The People's Bank of China authorized the National Interbank Funding Center to announce the loan prime rates (LPR) for May 20, 2025: the one-year LPR was 3.0%, and the LPR for loans over five years was 3.5%. These LPRs will remain effective until the next LPR announcement.
Sugandha Sachdeva, founder of SS WealthStreet, a research firm in New Delhi, said, "Fears that tariffs could push the US into a recession may limit gains in copper prices."
"Technically, copper has found strong support at $9,500 per mt. In the short term, if there are no major negative macroeconomic surprises, the target for copper prices is $9,950 per mt."
Among other London metals, LME three-month zinc futures rose by 0.11% to $2,713.50 per mt; three-month aluminum futures were largely stable at $2,471 per mt; three-month lead futures fell by 1.11% to $1,958.5 per mt; three-month tin futures dropped by 0.28% to $32,990 per mt; and three-month nickel futures rose by 0.50% to $15,595 per mt.
SHFE aluminum rose by 0.7% to 20,190 yuan per mt; zinc rose by 0.7% to 22,580 yuan; lead rose by 0.5% to 16,900 yuan; nickel fell by 0.05% to 123,280 yuan; and tin rose by 1.1% to 267,730 yuan.
