Copper for March delivery rose 2.15 cents, or 0.5%, to close at $4.28 a pound today, the highest closing price ever for the commodity. Earlier in the day, copper hit $4.2985 a pound, an all-time record.
Copper climbed despite a surprise move on Saturday by the People’s Bank of China to increase its lending and deposit rates by a quarter of a percentage point. Prices of the red metal have been rising in recent months amid increased demand from emerging markets, including China, which is the world's biggest user.
"Even though China raised rates they're continuing to buy metal," George Gero, vice president with RBC Capital Markets Global Futures, told Dow Jones Newswires.
A supply shortage also helped boost prices today. The world's third biggest copper mine, the Collahuasi mine in Chile, halted sales contracts a week ago after an accident at its port.
Trading was thin, however, due to a massive snowstorm on the East Coast.
No comments:
Post a Comment