Shanghai Futures Exchange copper climbed 0.8 percent to 48,350 yuan ($7,018) a tonne on Wednesday buoyed by signs that global manufacturing activity will return to a firmer footing next year and as metals attracted fresh interest from investors. A trader in Shanghai said he did not expect year-end liquidation from local retail investors, who drove up copper prices last month.
China's retail investors have flocked to metals, given a cooling property market and because many were burned in China's stockmarket meltdown last year. Commodities have also found support from expectations the dollar will weaken under Donald Trump's upcoming US presidency, said Jonathan Barrett, chief investment officer at Sydney's Ayers Alliance. "It's about how the Trump factor will affect dollar policy. It does come down to: how do we make America great? The best way is to enable us to export to every corner of the world, and you can't do that with the dollar at historic highs," he said.
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