London copper edges up on U.S. stimulus paychecks optimism

  • Date: 29-Dec-2020
  • Source: Zawya
  • Sector:Economy
  • Country:Middle East
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London copper edges up on U.S. stimulus paychecks optimism

HANOI  - London copper rose on Tuesday as investors hope an expanded U.S. pandemic aid package will spur a quick economic recovery, boosting consumption and demand for metals.Three-month copper on the London Metal Exchange rose 1.4% to $7,898.50 a tonne by 0239 GMT, while the most-traded February copper contract on the Shanghai Futures Exchange was almost flat at 58,720 yuan ($8,991.65) a tonne.The U.S. House of Representatives approved a plan for $2,000 COVID-19 relief checks on Monday, up from a previous $600, before sending the measure on to a vote at Senate. A weaker dollar, which languished near a 2-1/2-year as U.S. lawmakers pushed forward with a COVID-19 relief package, also made greenback-priced metals cheaper and more appealing to holders of other currencies.FUNDAMENTALS* LME nickel rose 1.8% to $17,290 a tonne and ShFE nickel SNIcv1 advanced 0.5% to 128,330 yuan a tonne. LME aluminium fell 1.8% to $1,993 a tonne while aluminium dropped 2% to 15,440 yuan a tonne.* Copper should outperform other base metals next year because of its widespread applications, while aluminium prices should also gain. * Chinese banks are expected to face headwinds raising funds next year due to bad loans issues. MARKETS NEWS* Asian shares jumped, with Japanese stocks