LIVE FUTURES REPORT 31/01: LME base metals tick higher on positive trade sentiment; copper closes above $6,100

Base metals prices on the London Metal Exchange were collectively higher day on day at the close of trading on Thursday January 31, with a softer US dollar and improved trade sentiment supporting commodity investment.

Copper’s three-month price continued on an upward trend throughout afternoon trading, with total volumes topping the complex and more than 18,000 lots changing hands by the close. Price action in the red metal has pushed beyond the nearby threshold of $6,100 per tonne this week, on low stocks and stronger-than-expected economic data from China, despite remaining in contraction territory. “The [US Federal Reserve Bank] policy statement did not disappoint [on Wednesday] and gave investors the ‘dove-ish’ bias they were clamoring for,” INTL FCStone analyst Edward Meir said. “The central bank said that it would be ‘patient’ about raising rates going forward, in light of significant economic uncertainties, the possibility of yet another [US] government shutdown, signs of moderating growth, and the unease created by the US-China trade talks,” he added. “But ‘patience’ was the key term drilled into investors’ psyches, with [Federal Reserve...

Published

Hassan Butt

January 31, 2019

18:58 GMT

London