Commodities

Base Metals Bounce Alongside Equities as Risk Appetite Recovers

  • Goldman Sachs and CRU add to bullish forecasts on copper
  • Aluminum and tin traders monitor LME inventories closely

Rolls of copper sheet at a mill in Sevojno, Serbia.

Photographer: Oliver Bunic/Bloomberg
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Copper rallied Wednesday as risk appetite improved in global financial markets and warnings about the metal’s tight supply dynamics persisted.

The London Metal Exchange price rose as much as 1.6%, tracking an early rebound in equities and bond markets as the US trading day got underway. Stocks sank Tuesday after Federal Reserve Chairman Jerome Powell indicated the central bank is likely to keep rates higher for longer due to ongoing worries about inflation.