Darren Kugler
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Darren Kugler in Commodities,

Copper Rebounds From 14-Week Low Before U.S. GDP Data

Copper rebounded from the lowest in 14 weeks before U.S. data that’s forecast to show faster growth in the world’s second-biggest metals user.

The metal in London rose as much as 0.6 percent after closing yesterday at the lowest since June 16. U.S. gross domestic product grew 4.6 percent in the second quarter, more than the previous estimate of 4.2 percent released in August, according to a Bloomberg survey of analysts before a Commerce Department report today. Durable goods orders last month fell by a record, government data showed yesterday.

“Copper is trying to find support around $6,700,” said Kazuhiko Saito, an analyst at Fujitomi Co., a commodities broker in Tokyo. The market was also supported before the release of the improved U.S. growth outlook, he said.

Copper for delivery in three months gained as much as $38.75 to $6,733.75 a metric ton on the London Metal Exchange and was at $6,724.75 at 11:37 a.m. in Tokyo. The metal is down 1.6 percent this week and set for a fifth weekly drop, the longest losing streak since April 2013. Prices slid 4.1 percent this quarter.

In New York, the contract for December delivery rose 0.4 percent to $3.0415 a pound. The metal on the Shanghai Futures Exchange for the same month gained 0.1 percent to 47,790 yuan ($7,789) a ton .

On the LME, aluminum and zinc advanced. Nickel and tin fell while lead was little changed.

The LME Index of the six metals dropped 0.9 percent yesterday to the lowest since June 18 as thedollar climbed to the highest since June 2010 against a basket of 10 currencies, eroding the investment appeal of commodities.

http://www.bloomberg.com/news/2014-09-26/copper-in...