XM does not provide services to residents of the United States of America.

Copper up on China's easing monetary policy stance, demand rebound, supply concerns

<html xmlns="http://www.w3.org/1999/xhtml"><head><title>METALS-Copper up on China's easing monetary policy stance, demand rebound, supply concerns</title></head><body>

Updates prices

By Mai Nguyen

June 20 (Reuters) -Copper prices rose on Thursday on China's central bank reinforcing its easing monetary policy stance, better end-user demand following recent price drops, and supply concerns.

Three-month copper on the London Metal Exchange (LME) CMCU3 was up 0.5%at $9,835 per metric ton by 0731 GMT, while the most-traded July copper contract on the Shanghai Futures Exchange (SHFE) SCFcv1 closed up 1.2% at 79,390 yuan ($10,934.96) a ton.

The People's Bank of China will stick to a supportive monetary policy stance and will resolutely prevent the exchange rate from overshooting, its governor said on Wednesday.

Meanwhile, Anglo American's copper output at its Los Bronces mine in Chile is expected to fall nearly a third from average historical levels next year, highlighting the tightness in raw material supply.

As copper prices fell in the past week, companies said end-user orders have returned, leading to a drawdown of domestic spot stockpiles, Jinrui Futures said in a note.

Copper prices on the LME fell as low as $9,551 earlier this week from their record highs above $11,000 hit just a month earlier. SHFE copper inventories CU-STX-SGH eased on Friday to 330,753 tons.

Prices are expected to be supported in the short term on easing measures and the improvement in spot physical copper demand, Jinrui added.

However, a jump in LME copper stocks MCUSTX-TOTAL capped gains, with copper alsoentering a traditionally slow-demandseason.

Chances of fewer U.S. rate cuts than previously expected are alsoweighing on metal prices.

LME aluminium CMAL3 rose 0.7%to $2,515.50 a ton, nickel CMNI3 climbed 0.9% to $17,510, zinc CMZN3 edged down 0.1% at $2,867, lead CMPB3 declined 0.3% to $2,192 while tin CMSN3 jumped 1.6% to $32,905.

SHFE aluminium SAFcv1 rose 0.6%to 20,595 yuan a ton, nickel SNIcv1 advanced 1.3% to 135,400 yuan, zinc SZNcv1 climbed 1% to 23,840 yuan, tin SSNcv1 increased 2.5% to 273,400yuan while lead SPBcv1 fell 2.4% to 18,790 yuan.

For the top stories in metals and other news, click


($1 = 7.2602 yuan)

Reporting by Mai Nguyen in Hanoi; Editing by Rashmi Aich, Sonia Cheema and Janane Venkatraman

 For related news and prices, click on the codes in brackets: LME price overview RING= COMEX copper futures 0#HG: All metals news MTL All commodities news C 
Foreign exchange rates FX=SPEED GUIDES LME/INDEX

Disclaimer: The XM Group entities provide execution-only service and access to our Online Trading Facility, permitting a person to view and/or use the content available on or via the website, is not intended to change or expand on this, nor does it change or expand on this. Such access and use are always subject to: (i) Terms and Conditions; (ii) Risk Warnings; and (iii) Full Disclaimer. Such content is therefore provided as no more than general information. Particularly, please be aware that the contents of our Online Trading Facility are neither a solicitation, nor an offer to enter any transactions on the financial markets. Trading on any financial market involves a significant level of risk to your capital.

All material published on our Online Trading Facility is intended for educational/informational purposes only, and does not contain – nor should it be considered as containing – financial, investment tax or trading advice and recommendations; or a record of our trading prices; or an offer of, or solicitation for, a transaction in any financial instruments; or unsolicited financial promotions to you.

Any third-party content, as well as content prepared by XM, such as: opinions, news, research, analyses, prices and other information or links to third-party sites contained on this website are provided on an “as-is” basis, as general market commentary, and do not constitute investment advice. To the extent that any content is construed as investment research, you must note and accept that the content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, it would be considered as marketing communication under the relevant laws and regulations. Please ensure that you have read and understood our Notification on Non-Independent Investment. Research and Risk Warning concerning the foregoing information, which can be accessed here.

Risk Warning: Your capital is at risk. Leveraged products may not be suitable for everyone. Please consider our Risk Disclosure.