Prices of copper and aluminum in China touched a one-week high on Thursday, bolstered by the likelihood of more stimulus measures by the top metals consumer and firmer risk appetite in broader Asian financial markets.
The most-traded April copper contract on the Shanghai Futures Exchange was up 1 percent at 72,370 yuan ($11,400.80) a ton, while aluminum gained 2.3 percent to 22,185 yuan.
Earlier in the session, both metals touched a peak since March 9.
Three-month aluminum on the London Metal Exchange (LME) was 1.4 percent higher at $3,303.5 a ton.
Chinese vice premier Liu He on Wednesday urged government bodies to roll out market-friendly policies and “cautiously” introduce measures that risk hurting markets, allaying some fears of a slowdown due to the resurgence in coronavirus cases.
“Everyone is encouraged by the meeting yesterday and also in general the market is on a risk-on mood,” said Hao Hong, head of research at BOCOM International.
This year the supply picture in China is expected to be better than last year with limits on production being relaxed while demand looks stronger with investment growth, especially in infrastructure which tends to consume lots of materials, he added. – Reuters
