Copper prices rose on Friday, supported by stronger-than-expected U.S. economic data and expectations of increased buying from top consumer China after the recent price dip.

Three-month copper on the London Metal Exchange gained 0.36% to $9,701.5 per metric ton by 0700 GMT, rising 0.49% so far this week.

The most-traded copper contract on the Shanghai Futures Exchange added 0.65% to 78,410 yuan ($10,922.74) a ton, but was still 0.28% lower this week.

“The U.S. economic data has been encouraging, boosting the hope for better copper demand and lowering the chances for immediate interest rate cuts,” a Beijing-based metals analyst at a futures company said.

U.S. retail sales increased 0.6% in June after an unrevised 0.9% drop in May, while the number of Americans filing new applications for unemployment benefits fell last week, pointing to steady job growth so far in July.

“LME copper stocks have been rising, mainly at its Asia warehouses as some traders may be betting on more buying by China with recent price drops, uncertain whether this will materialise and by how much,” a Shanghai-based metals analyst at a futures company said.

Total copper stocks at the LME-registered warehouses (MCUSTX-TOTAL) rose 34.8% since the end of June to 122,150 tons as of Thursday, with the spikes mainly at Asian warehouses such as in Gwangyang and Taiwan.

The focus is also on looming U.S. tariffs as the August 1 deadline nears and on details of the 50% import levies on copper.

LME tin gained 0.68% to $33,240 a ton, zinc advanced 0.42% to $2,748.5, lead (CNPB3) added 0.2% to $1,977, aluminium rose 0.19% at $2,583, and nickel up 0.09% to $15,110.

SHFE tin gained the most by 1.07% to 264,540 yuan a ton, zinc jumped 1% to 22,300 yuan, nickel rose 0.73% to 120,500 yuan, and aluminium grew 0.42% to 20,510 yuan. Lead fell 0.3% to 16,820 yuan.
Source: Reuters