London Copper Rises on Demand Outlook from New Energy Sector

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HANOI, May 11 Reuters London copper prices climbed on Tuesday, as traders bet on demand prospects from metalreliant renewable energy and electric vehicles EV sectors and as the global economy steadily recovers from the fallout of the COVID19 pandemic.

Threemonth copper on the London Metal Exchange was up 0.9 at 10,470 a tonne, as of 0701 GMT, inching closer to a record peak of 10,747.50 notched in the previous session.

The mosttraded June copper contract on the Shanghai Futures Exchange closed 1 lower at 76,000 yuan 11,819.23 a tonne, clawing back from early losses of 2.5.

The continued strengthening of the global economy, at the same time as governments are intent on increasing stimulus measures is driving sentiment higher, ANZ analysts said in a report.

Copper is also drawing investors looking to benefit from the renewable energy and EV sectors that are expected to boost demand, they added.

FUNDAMENTALS

A union representing workers at BHP Groups Escondida and Spence copper mines in Chile has called for a strike vote among its members after contract negotiations stalled.

A shortage of copper and dwindling inventories in the longterm are likely to propel prices of the industrial metal to levels beyond current record highs, unless scrap supplies rise significantly, analysts said.

ShFE copper speculative net long rose to 52.8 of open interest on Monday, the highest since the position rose to an 18year high of 57.9 in February, from Fridays 47.4, Marex…

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