Aug. 30 (Bloomberg) -- Copper rose for the first time in four days after Chinese Premier Wen Jiabao said the country will continue investing in the European bond market. Tin fell to the lowest level in a week.
Three-month copper climbed as much as 0.9 percent to $7,640 a metric ton on the London Metal Exchange after dropping 0.5 percent. The contract traded at $7,612.25 by 3:14 p.m. Shanghai time, and has added 0.7 percent this month.
Wen said he was more confident about the euro area after meeting German Chancellor Angela Merkel today. China is willing to continue investing on condition of fully evaluating the risks, the official Xinhua News Agency reported. The dollar index fell 0.2 percent, while the euro rose.
“Wen’s comments highlighted China’s commitments to cooperate with the region, weighing down the dollar and boosting market sentiment,” said Jia Zheng, a trader at East Asia Futures Co.
The December-delivery contract on the Shanghai Futures Exchange closed 0.9 percent higher at 55,680 yuan ($8,767) a ton, while Comex futures rose 0.6 percent to $3.4685 a pound.
Pacific Investment Management Co.’s Bill Gross said the Federal Reserve will add to monetary stimulus even if Chairman Ben S. Bernanke fails to indicate additional measures during a speech in two days. Bernanke will speak to central bankers tomorrow in Jackson Hole, Wyoming.
Copper consumption in China is expected to expand 5 percent this year, the slowest rate since 1997, according to Yang Changhua, an analyst at Beijing Antaike Information Development Co. “We’re not optimistic about next year,” Yang said.
Tin fell as much as 2.4 percent to $19,150 a ton in London, the lowest level in a week. The metal tumbled 5.2 percent yesterday after PT Timah said that it was resuming spot sales. Zinc and nickel rose in London, while lead declined. Aluminum was little changed.
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