hit a two-month high

Three-month copper on the London Metal Exchange (LME) CMCU3 rose 1.3% to $9,518.50 a tonne after hitting $9,586.50, its highest since July 18, and facing resistance from its 100-day moving average.

The US currency fell, making the dollar-denominated metal more attractive to buyers using other currencies, as the Fed began its monetary easing cycle on Wednesday with a larger-than-usual half-percent cut.

“There’s a lot of debate about how to interpret the size of this rate cut because you can look at it two ways,” said Dan Smith, director of research at Amalgamated Metals Trading. “You can argue that it’s good news. On the other hand, the Fed felt the need to act quickly to support the economy and that signals that some weakness that we haven’t yet seen is coming. Right now, the bullish interpretation is winning (for copper).”

Smith also said some algorithmic computer models that place buy and sell orders based largely on momentum signals have shifted into bullish mode.

However, China’s economy continues to send mixed signals for copper as the construction sector in the top consumer of the metal struggles, despite rising demand from the country’s power sector.

China’s yuan closed near a 16-month high against the dollar on Thursday on hopes that the Fed’s easing has given Beijing more freedom to conduct its own monetary policy.

With seasonal restocking ahead of China’s Golden Week holiday in October, Yangshan copper import premiums hit $67, their highest since early 2024. That price had fallen in July.

LME CMAL3 aluminium rose 0.2% to $2,540 a tonne after hitting $2,569, its highest since June 13.

Zinc CMZN3 rose 1.5% to $2,929, nickel CMNI3 rose 0.6% to $16,320, lead CMPB3 rose 1.7% to $2,072.50 and tin CMSN3 rose 1.0% to $31,810.

Source: https://kinhtedothi.vn/gia-kim-loai-dong-ngay-20-9-dat-muc-cao-nhat-trong-hai-thang.html