Copper climbs as jobs data boosts demand outlook

Copper advanced for a fourth day to near a four-month high after US employers added more jobs than estimated, inventories shrank and the dollar weakened. The three-month delivery contract on the London Metal Exchange gained 1.1 per cent to $7,732.75 a metric tonne at 2:47 pm in Singapore, leading gains in industrial metals. Copper climbed to $7,750 a ton on Sept. 3, the highest level since April 27, after US Labor Department figures showed payrolls expanded by 67,000, more than the median forecast for an increase of 40,000.

Copper for December-delivery on the Shanghai Futures Exchange gained as much as 1.2 per cent to 60,620 yuan ($8,932) a tonne, also the highest price since April 27, and closed at 60,500 yuan. Stockpiles tallied by the exchange dropped to a one-month low of 105,917 tonnes last week. Inventories in LME warehouses fell for the first day in three on September 3 to 397,675 tonnes. Metals also advanced as the dollar traded near a two-week low against a six-currency basket, including the euro. The US currency fell to $1.2914 per euro today, the weakest level since August 18, before data economists forecast will show Germany’s recovery is gaining momentum. Aluminum in London rose 1.4 per cent to $2,176.50 a tonne, zinc climbed 2.1 per cent to $2,197 a tonne, and lead increased 1.8 per cent to $2,206 a tonne. Nickel gained 2.8 per cent to $22,200 a ton and tin advanced 0.7 per cent to $21,350 a tonne.