up on boost to recovery in China

Three-month copper on the London Metal Exchange (LME) rose 0.5% to $9,880 a tonne in open trading while aluminium rose 0.7% to $2,630.

Copper hit $10,158 a tonne, its highest since early June, on Monday before falling as investors shuffled positions ahead of China’s Oct. 1-7 holiday. Aluminum hit $2,659 last week, its highest since June 6.

The feedback this week has been that the moves in these metals have been so large that current levels are not justified by fundamentals, said Alastair Munro, senior base metals strategist at broker Marex.

“However, it all comes down to cash flows, with systematic buyers buying short positions in nickel and lead while the broader markets have underinvested in our space to the point where those cash flows could be huge and far outstrip any supply-demand outlook,” said Alastair Munro.

A public holiday in China kept trading thin on Tuesday while the LME Week annual meeting of metals industry participants continued.

An LME event released on Monday said investor allocations to the metals sector have the potential to grow significantly as the energy transition takes place in the coming years.

In other metals, LME nickel rose 0.5% to $17,600 a tonne in regular trading after hitting its highest since June 14 at $17,795. China’s top nickel producer Tsingshan has cut ferronickel output in Indonesia due to persistent ore shortages, sources told Reuters.

Meanwhile, zinc rose 1.6% to $3,139, lead gained 1% to $2,117 and tin fell 0.2% to $33,400.

Source: https://kinhtedothi.vn/gia-kim-loai-dong-ngay-2-10-tang-do-thuc-day-phuc-hoi-tai-trung-quoc.html