Nov. 29 (Bloomberg) -- Copper rose in New York amid the outlook for increasing demand in China, the world’s biggest consumer of the metal.
A gauge of Chinese manufacturing is expected to show expansion this month. The Purchasing Managers’ Index due Dec. 1 will come in at 51.1 for this month, a Bloomberg survey of economists showed. Levels above 50 signal growth. Stockpiles of copper tracked by the London Metal Exchange shrank for a 12th week in a row, and those monitored by the Shanghai Futures Exchange are the lowest since June 2012, data showed today.
“We continued to see Chinese demand move higher and tighten up the markets,” Bart Melek, the head of commodity strategy at TD Securities in Toronto, said in a telephone interview. “The U.S. will be an important source of imports for Chinese manufactured goods, which of course means copper.”
Copper futures for delivery in March climbed 0.5 percent to settle at $3.205 a pound at 12:20 p.m. on the Comex in New York, where floor trading was closed yesterday for the Thanksgiving holiday. Prices fell 2.9 percent this month, the biggest slump since June. Copper for delivery in three months rose 0.5 percent to $7,055 a metric ton ($3.20 a pound) on the LME.
Aluminum, tin, nickel, zinc and lead also advanced in London.
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