Copper prices rose on Tuesday, supported by a weaker US dollar and supply concerns after the collapse of a mine in top producer Chile.
Three-month copper on the London Metal Exchange advanced for the third straight session, up 0.2 percent at $9,709.50 per metric ton, as of 0315 GMT.
The most-traded copper contract on the Shanghai Futures Exchange gained 0.4 percent to 78,490 yuan ($10,930.38) a ton.
Chilean miner Codelco said on Monday that underground operations at its El Teniente copper mine remained suspended, after an earthquake triggered a collapse that killed six people last week.
Codelco is the world’s biggest copper miner, while Chile supplies about a quarter of the world’s red metal.
“The Codelco El Teniente copper mine stoppage, a weaker dollar after last week’s US jobs data and risk-on sentiment are helping copper prices,” a Singapore-based metals trader said. “The debasement of the dollar is likely to continue, so holding hard assets in metals as a store of purchasing power could be gaining traction.”
The dollar index fell for a third straight session after a soft US jobs report last week.
A weaker dollar makes greenback-denominated assets more affordable to holders of other currencies.
Risk appetite has risen globally after the jobs report raised bets that the Federal Reserve may cut rates soon to support the economy.
Copper, used in power and construction, is seen as a gauge for the health of the global economy.
Among other metals in London, aluminium climbed 0.7 percent to $2,569.50 a ton, nickel rose 0.3 percent to $15,100, lead was up 0.1 percent at $1,960.50, tin gained 0.4 percent to $33,265, and zinc rose 0.4 percent to $2,760.50. SHFE aluminium was up 0.3 percent at 20,520 yuan, nickel climbed 0.8 percent to 120,850 yuan, lead slipped 0.5 percent to 16,690 yuan, tin rose 0.5 percent to 267,380 yuan, and zinc gained 0.6 percent to 22,330 yuan.
