Industrial metals prices rose on Monday, with copper leaping as much as 2.7% as an easing of coronavirus lockdowns in many countries fuelled optimism among investors that also lifted stock markets and oil.
In official trading, benchmark copper on the London Metal Exchange (LME) was up 1.9% at $5,277.50 a tonne and headed for its biggest daily gain since mid-April.
Prices of the metal used in power and construction fell from around $6,300 in January to a four-year low of $4,371 in March as the coronavirus spread, but have recovered as China, the biggest consumer, reopens.
A flood of cheap money from central banks into financial markets was lifting all assets including copper, said Commerzbank analyst Eugen Weinberg.
China's appetite for foreign copper has improved, however, with Yangshang import premiums at $112.50 a tonne up from $55 in February and the highest in a year and a half.
LME zinc was up 1.7% at $1,995.50 a tonne as 17,500 tonnes of cancellations reduced on-warrant stocks in LME-registered warehouses to 72,200 tonnes, the lowest since April 7.
Mexico's Industrias Peñoles said it would suspend operations of its Francisco I. Madero mine, which produced 41,541 tons of zinc and 8,905 tons of lead last year. LME aluminium was up 1% at $1,476 a tonne, nickel rose 1.5% to $12,036, lead gained 1.6% to $1,625 and tin was 1% higher at $15,120.
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