Prices of metals in London rose on Thursday, buoyed by upbeat market sentiment after a U.S. federal court blocked President Donald Trump’s “Liberation Day” tariffs from going into effect, although a stronger dollar kept gains in check.
Three-month copper on the London Metal Exchange was up 0.6% to $9,622 per metric ton, as of 0710 GMT.
The most-traded copper contract on the Shanghai Futures Exchange (SHFE) gained 0.1% at 78,130 yuan ($10,865.57) per ton.
LME aluminium gained 0.6% to $2,483 a ton, zinc rose 1.1% to $2,717, lead was up 0.3% at $1,987.50 and nickel gained 1.3% to $15,205. Tin was up 0.4% to $31,745.
Base metals are up slightly after a U.S. trade court ruled that the bulk of Trump’s tariffs are illegal under existing trade law, but the real action seems to be taking place in the U.S. equity markets, Marex consultant Edward Meir said in a note.
The Court of International Trade on Wednesday ruled that Trump overstepped his authority by imposing his April 2 across-the-board duties on imports from U.S. trade partners.
This boosted risk sentiment in the wider financial markets, while also sending the U.S. dollar index to its highest level in more than a week.
A stronger greenback makes dollar-denominated assets more expensive to holders of other currencies.
Chile’s state copper commission Cochilco raised its average copper price forecast for this year and next on Wednesday, citing an improved global outlook following a pause in the tariff war between the United States and China.
Copper, used in power and construction, is up 5% so far this month as global trade tensions eased compared to April when Trump announced reciprocal tariffs.
“Unplanned disruptions and supply outages in copper are increasing, exacerbated by China’s rise in refining capacity, creating tightness in concentrate markets and lowering treatment charges,” ANZ said in a note.
SHFE aluminium was up 0.3% at 20,200 yuan a ton, lead was steady at 16,750 yuan, nickel fell 0.6% to 120,480 yuan, while zinc gained 0.6% at 22,495 yuan and tin fell 1.5% to 257,870 yuan.
Source: Reuters
