Copper prices rose to a two-week high today, supported by the weaker dollar and China's relief measures and plans to end the Covid-19 lockdowns.
Three-month copper on the London Metal Exchange (LME) was trading at $9,471/tonne, up 0.5% at 07.18 ET, after hitting $9,532/t, its highest level since May 5, in early Asian trading.
On the Shanghai Futures Exchange, copper for June delivery rose 0.3% at noon to trade at 71,950 yuan/ton ($10,758) after hitting its highest level since May 6.
Analysts said the larger-than-expected rate cut in China is aimed at stimulating the real estate sector, which will provide a short-term bounce. On the other hand, in addition to the weakening of the dollar, the quarantine in Shanghai, which is planned to return to a more normal life as of June 1, supported the prices.
In LME, aluminum increased 1.2%, zinc 0.5%, lead 0.3%, tin decreased 0.9%.
China's iron ore rose 7%
In China, benchmark iron ore futures rose nearly 7% in early trading after India increased export duties on some commodities to curb rising inflationary pressures.
India, Asia's third largest economy, has increased its export duties for iron ore and steel feedstock products, with new iron ore and concentrate tariffs being increased from 30% to 50% and pellet duties from zero to 45%. The government also lifted tariffs on coking coal and coke imports.
Iron ore futures for September delivery on the Dalian Commodity Exchange rose 6.9% to 884 yuan/t in early trading, the highest since May 6, after rising 4.4 percent to 864 yuan/t (129, 89) at 05:08 ET. 18 dollars) was traded.
Singapore iron ore for June delivery rose 1.4% to 136 dps/t.
In Dalian, coking coal traded at 2,610 yuan/tonne, down 0.9%, while coking coal traded at 3,437 yuan/tonne, up 1.2%.
On the Shanghai Futures Exchange, October rebar delivery rose 0.2% to 4,622 yuan/t, and hot rolled coil rose 0.3% to 4,762 yuan/t.
Stainless steel fell 1.9%.
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