LONDON- Copper prices rose on Friday with support from a weaker dollar and hopes that the growth in exchange stockpiles could be coming to an end, though a softer demand outlook in top metals consumer China kept the metal on track for a weekly decline.
Three-month copper on the London Metal Exchange was up 0.9 percent at $9,875 per metric ton. It has declined 0.7 percent so far this week. September futures on Comex added 1.9 percent to $4.59 a pound.
The US currency weakened, making dollar-priced metals more attractive for buyers using other currencies, after US producer prices rose moderately in June, strengthening the case for a September interest rate cut.
Copper inventories in the LME-registered warehouses were still hovering near their highest in more than 2-1/2 years after they nearly doubled since mid-May on an inflow to Asian warehouses.
But, according to the daily LME data, the on-warrant stocks declined to 190,500 tons after 5,900 tons were marked for delivery out, signaling that massive inflows could be coming to an end.
Meanwhile, a set of data from China added to concerns that demand in the country was weak amid high prices for copper. The metal, used in power and construction, is down 11 percent since reaching a record high of $11,104.50 on May 20, but is still up 15 percent since the start of 2024.
