(LME) copper futures on the London Metal Exchange rose to its highest level in a month on Wednesday, with Chengdu, China announcing an increase in real estate credit lines and other industrial metals prices rising.
17:00 London time (01:00 Beijing time on November 25th)), LME copper for delivery in three months rose $124.5, or 1.28%, to close at $9835.00 a tonne, after hitting its highest level since Oct. 26, at $9880.
Signs of tight supply further supported prices, with most metal inventories in LME warehouses falling and material contracts traded at a premium for rapid delivery.
Copper prices have risen about 25% this year after surging 26% in 2020, but the uptrend has lost momentum in recent months as economic growth slows.
Robin Bhar, an independent analyst, said China's supporting measures had helped, but not enough to rekindle the rally in copper prices.
"at the moment, I don't see anything that can push copper prices beyond the range of $9000 to $10, 000." "We looked down and there were buyers, but there was strong resistance at a higher level," he said. "
Trading volumes are expected to be low in the run-up to the US Thanksgiving holiday.
Zou Lan, director of the Financial Market Department of the people's Bank of China, said on the 23rd that serving the real economy is the bounden duty and purpose of finance. In the next stage, the financial sector will continue to deepen the structural reform on the financial supply side, promote financial institutions to improve the allocation of internal resources, strengthen external incentives and constraints, and put service to the real economy in a more prominent position. guide financial institutions to invest more resources in key areas of the real economy, such as manufacturing, small and micro enterprises, and green development.
Although the dollar has risen to its highest level against a basket of major currencies since July 2020, the renminbi remains strong against the dollar, making dollar-denominated metals more expensive for non-US buyers.
Chinese coking coal futures prices surged 12 per cent.
Indonesia's president said that in order to attract investment in the resource processing industry, Indonesia may stop exporting tin by 2024. Tin futures rose 2.9 per cent to $40010 a tonne after hitting a record high of $40300.
LME three-month nickel rose 2.4 per cent to $20846 a tonne, approaching a seven-year high of $21425 set last month.
LME nickel registered warehouse receipts have fallen to 65922 tonnes from more than 200000 tonnes in April, with one entity holding more than half of the registered warehouse receipts, according to LME.
