Copper futures rose after the index of US leading economic indicators rose in May, raising hopes that the global recession may be near a bottom. The indicators index for the world’s biggest economy advanced 1.2% in the six months through May, following a 1.1% gain in April, the biggest back-to-back gains since 2001, the New York-based Conference Board reported.
Copper futures for September delivery added 1.25 cents, or 0.6%, to $2.282 a pound on the New York Mercantile Exchange’s Comex division. Copper for delivery in three months surged $10, or 0.2%, to $4,970 a metric tonne on the London Metal Exchange.
Inventories of copper in Shanghai warehouses rose to the highest since March 2008 last week. Imports of copper into China are likely to slow in the next few months, according to market analysts.
Among other base metals, aluminium rose $20, or 1.2%, to $1,642 a tonne, lead rose 0.8% to $1,675 a tonne and zinc gained 0.7% to $1,563 a tonne. Tin fell 1% to $14,950 a tonne and nickel added 1.1% to $15,010 a tonne.