Shanghai copper rebounds

Shanghai copper rebounded on Wednesday from a 4-percent dive in the previous session on easing oil prices, but investors remained concerned energy prices could spike again on continued unrest in the Middle East. The most-active Shanghai copper futures contract gained 0.8 percent to close at 71,600 yuan after falling 4.2 percent on Tuesday, its sharpest daily loss since November.
The big drop in Shanghai copper prices in the previous session had failed to trigger much buying, traders said. Copper stocks in Shanghai's bonded warehouses have ballooned to 600,000 to 700,000 tonnes from more than 500,000 tonnes two weeks ago. Holders of these stocks are offering the metal at a discount on lean demand. Shanghai zinc edged up 1.3 percent to 18,315 yuan.