- Benchmark copper on the London Metal Exchange was up 0.4% at $5,906 a tonne at 1050 GMT, nearing a five-month high of $5,928 reached earlier in June.
- Powering that rise is an almost total recovery of demand in top consumer China and increasing supply
LONDON: Copper prices rose on Tuesday after US President Donald Trump said a trade deal with China was "fully intact" and better-than-expected European data bolstered hopes of a rapid economic recovery.
Benchmark copper on the London Metal Exchange was up 0.4% at $5,906 a tonne at 1050 GMT, nearing a five-month high of $5,928 reached earlier in June.
The metal used in power and construction has surged 35% from a low in March.
Powering that rise is an almost total recovery of demand in top consumer China and increasing supply disruption in Chile, the biggest producer, said Julius Baer analyst Carsten Menke.
But he said prices were unlikely to return quickly to January's pre-COVID high of $6,343.
TRADE WAR: President Trump contradicted a comment by White House trade adviser Peter Navarro that the US-China trade deal was over.
DATA/MARKETS: Equities and oil prices rose after European Purchasing Managers' Indexes (PMIs) outperformed expectations, with the composite index recovering to 47.5 from May's 31.9.
CHILE: Miner Codelco said it would implement new measures at its El Teniente copper mine, its largest deposit, to maintain operations amid increasing worker angst over the fast-spreading coronavirus.
STOCKS: On-warrant copper inventories in LME-registered warehouses fell by nearly 4,000 tonnes to 121,125 tonnes, the lowest since February.
CHINA DEMAND: China's copper demand was 1.6% higher in May than in May 2019, analysts at Citi said. Chinese Yangshang copper import premiums rose to $102.50 from $80 a week ago.
ZINC/LEAD: Global lead and zinc markets were in surplus in April, data from the International Lead and Zinc Study Group showed.
ALUMINIUM TARIFFS: The United States plans to re-impose tariffs on aluminium imports from Canada, Bloomberg reported, citing sources.
CHINA ALUMINIUM: China's aluminium imports more than doubled year-on-year in May.
OTHER METALS: LME aluminium was down 0.2% at $1,600 a tonne, zinc fell 1.6% to $2,055, nickel slipped 0.7% to $12,570, lead dropped 1% to $1,760 and tin was 0.1% lower at $16,850.