Markets

Copper rises on economic recovery optimism, easing liquidity worries

  • Adding to the optimism, the US Congress pushed ahead with a maneuver to pass a $1.9 trillion COVID-19 relief package.
Published February 4, 2021

HANOI: Copper prices rose on Thursday boosted by easing liquidity worries in China and as solid economic data and progress on stimulus in the United States raised hopes of a global economic recovery.

Copper is often used as a gauge of global economic health.

Three-month copper on the London Metal Exchange rose 0.3% to $7,865 a tonne by 0237 GMT, while the most-traded March copper contract on the Shanghai Futures Exchange jumped 1.3% to 57,880 yuan ($8,962.67) a tonne.

US data showed private payrolls rebounding more than expected in January, while service activities also improved strongly, pointing to signs of a recovery in the world's biggest economy.

Adding to the optimism, the US Congress pushed ahead with a maneuver to pass a $1.9 trillion COVID-19 relief package.

The plan is still pending a vote at the Senate.

In China, a central bank official said the People's Bank of China will keep liquidity reasonably ample, easing money supply worries in the world's top metals consumer.

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