From AFR.com
CHINA DEMAND HELPS COPPER RALLY TO 10 MONTH HIGH
Copper prices surged to 10 month highs on Monday, boosted by growing optimism about economic growth and demand in china, the world's largest consumer of industrial metals.
The metal used in power and construction has gained more than 80% since the start of the year. Much of that gain has been built on chinese buying, which analysts say is strong becasue of fiscal stimuli.
Industrial metals extended their gains after data showing sales of new single family homes in the US in June were higher than expected.
The economic data continues to help, combined with dollar weakness, which makes commodities priced in dollars cheaper for holders of other currancies, was also helping support prices
China's insatiable appetite is highlighted in June imports, which jumped to a record for the 5th month running and copper stocks in LME warehouses.
Latest data showed LME stocks to above 277,000t, but they are down from around 500,000t in early April. Also potentially highlighting strong demand are cancelled warrents - stock earmarked for delivery - which nearly doubled to above 16,000t on Friday from Thursday
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