BEIJING: London copper prices rose as much as 1 percent on Monday, snapping two days of declines as investors hoped for more stimulus measures in top metals consumer China and a key copper conference was set to begin in Chile.
China said on Sunday it would step up its policy of targeted cuts to banks' required reserve ratios to encourage financing for small and medium-sized businesses that play a key role in economic growth.
In the peak April-May copper consumption season, short position holders are "powerless" as it will be impossible to make a case for weak demand over this period, Chinese brokerage Jinrui Futures wrote in a note.
Production growth in China's air conditioning sector, a big consumer of copper, is set to grow by 7.9 percent this month, it added.
FUNDAMENTALS
COPPER: Three-month copper on the London Metal Exchange rose as much as 1 percent to $6,466 a tonne and was up 0.7 percent at $6,445.50 a tonne by 0406 GMT. It ended down 0.8 percent in the previous session.
COPPER: Global copper producers are converging in Chile this week as tightening supply buoys prices, even as the industry grapples with declining ore quality, project delays and worries the U.S-China trade war may hit long-term demand.
PERU: MMG Ltd said its Las Bambas mine in Peru is expected to restore normal mining, production and transport operations after an indigenous village agreed to end a two-month blockade of the company's copper mine that has supported copper prices.
SHFE: Shanghai Futures Exchange metals were mixed as trading resumed after the long weekend in China. ShFE copper fell 0.5 percent to 49,230 yuan ($7,328.73) a tonne, while aluminium crept up 0.2 percent to 13,820 yuan.
OTHER METALS: Nickel, lead and zinc all rose in London, while tin was the laggard, slipping 0.6 percent to $20,880 a tonne.
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