London copper price rises on Biden infrastructure deal
Copper for July delivery fell 1% from Thursday’s settlement price, reaching $ 4.269 per pound ($ 9,391 per tonne) at noon on Friday in the New York Comex market.
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Inventories of suppliers and steelmakers jumped after the announcement.
Caterpillar gained 2.6% after jumping 3.8% in New York on Thursday, the most in three months. US Steel Corp. climbed more than 3% and Nucor Corp., the largest steel producer in the United States, rose 2%.
US President Joe Biden has passed a bipartisan Senate deal to spend hundreds of billions of dollars on infrastructure projects, building roads, bridges and highways in an increased effort to boost the US economy.
“We made a deal,” Biden said in a tweet.
“A group of senators – five Democrats and five Republicans – have come together and struck an infrastructure deal that will create millions of jobs in the United States. “
“Biden has announced that he accepts the infrastructure plan… but basically the current traditional peak copper season is ending,” Huatai Futures said in a report.
“On the supply side, processing costs continue to rise and the impacts of the release of state reserves overlap.”
China’s major copper smelters set their third-quarter ground processing and refining charges at $ 55 per tonne and 5.5 cents per pound, from 53 / 5.3 cents in the first quarter, said sources.
(With files from Reuters)