Prices of base metals were broadly higher on Monday, as better-than-expected economic data from top metals consumer China raised hopes of stronger demand.
Three-month copper on the London Metal Exchange edged 0.1 percent higher to $7,630 a ton, aluminum advanced 0.5 percent to $2,216.50 a ton, zinc increased 0.8 percent to $2,950 a ton and tin was up 1.9 percent at $18,830 a ton.
The most-traded November copper contract on the Shanghai Futures Exchange rose 1.3 percent to 63,910 yuan ($8,809.70) a ton, aluminum edged up 0.1 percent to 18,640 yuan a ton and nickel increased 1.8 percent to 188,200 yuan a ton.
China’s exports in September beat forecast to rise 5.7 percent year-on-year, and the country’s industrial output growth also rose beyond expectations at 6.3 percent in the same period, pointing to a sustained recovery from COVID-19 curbs that disrupted business and factory activity.
BHP Group Chief Executive Officer Mike Henry said on Friday he was “cautiously optimistic” about the economic outlook for China, where there have been some green shoots in the property sectors, but uncertainty remained.
SHFE zinc fell 1.8 percent to 24,750 yuan a ton, lead declined 0.9 percent to 15,310 yuan a ton and tin was down 1 percent at 165,470 yuan a ton.
Copper inventories in SHFE warehouses have risen 194 percent over three weeks to 89,566 tons, as of Friday, their highest level since Aug. 4. — Reuters
