Copper rises after US economic data and Powell comments

He copper fluctuated between losses and small gains after four days of advances driven by optimism about the prospects for U.S. interest rate cuts.

Industrial metals were up 0.2% at 6:04 p.m. in London, erasing an earlier drop of as much as 0.7%.

U.S. Federal Reserve Chairman Jerome Powell said earlier this week that inflation is returning to a downward path, boosting market confidence about monetary easing.

Employment data released on Wednesday indicated that the country’s labor market is slowing. Looser monetary policy could bolster the broader economy and demand for industrial metals such as copper.

The US dollar fell for a third straight session on Thursday, which is likely to see subdued trading with the United States observing the Independence Day holiday.

In China, treatment costs for converting partially purified copper blister products into refined metal retreated last week from a peak, according to Galaxy Futures Co.citing data from the Shanghai Metal Market.

This may be a sign that scrap supplies are tightening after benchmark prices retreated from a record high in May, which could boost demand for the refined metal, he said. Wang Yingyinganalyst of Galaxy Futures.

He copper rose to US$9,882.50 a tonne on the London Metal Exchange. Lead rose, while zinc, aluminium and nickel fell.

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