Copper Market Analysis

Copper prices experienced a rise on Monday, driven by positive Chinese manufacturing data, indicating increased demand for the metal. However, gains were tempered by a surge in inventories.

Market Performance

Copper May futures at the Shanghai Futures Exchange closed up 0.7% at 72,810 yuan per tonne, following a 5.4% surge in March. Trading at the London Metals Exchange is closed today due to the Easter holiday. The price surge followed a report showing growth in Chinese manufacturing for the first time in six months. Recent US inflation data suggests a potential Fed interest rate cut in June. However, high copper inventories, particularly monitored by the SHFE CU-STX-SGH, are restraining prices. Copper spot prices remained lower than futures last week.

Other Metal Prices

Aluminum prices rose 0.3% to 19685 yuan per tonne. Zinc rose 0.1% to 20,985 yuan per tonne. Nickel lost 0.4% to 129,910 yuan per tonne. Lead fell 1.4% to 16,490 yuan per tonne. Tin fell 0.2% to 5,590 yuan per tonne. The dollar index rose 0.4% to 104.9, with a session-high at 104.9 and a low at 104.4.

Copper futures due in May rose 1.4% to $4.06 a pound.