Business Recorder
Copper rose on Monday as the dollar and oil prices fell on hopes of a potential peace deal between the United States and Iran, easing fears of inflation and a global economic slowdown. Three-month copper on the London Metal Exchange rose 0.90% to $13,624.32 a metric ton by 0419 GMT. The most-traded copper contract on the Shanghai Futures Exchange gained 1.1% to 105,590 yuan ($15,539.93) a ton. Expectations of a US-Iran deal to reopen the Strait of Hormuz pushed oil prices below $100 per barrel. Energy prices have risen sharply during the nearly three-month-long Middle East war, stoking inflation concerns and shifting the global interest rate outlook. However, hopes of a peace deal have eased concerns over inflation and a global slowdown, supporting demand for copper, which is widely considered a bellwether for the health of the global economy. US President Donald Trump said on Sunday he had told his representatives not to rush into any deal with Iran as his administration played down expectations of an imminent breakthrough in the war. On Saturday, Trump said Washington and Iran had “largely negotiated” a memorandum of understanding on a peace deal that would reopen the Strait of Hormuz. The US dollar index shed 0.2%, making greenback-priced commodities cheaper for other currency holders. Elsewhere on the LME, aluminium added 0.5%, zinc rose 0.6%, lead was up 0.4%, nickel gained 0.8% and tin climbed 2.2%. Among other SHFE metals, aluminium ticked 0.5% lower, zinc was up 0.3%, lead rose 0.1%, nickel gained 0.2% and tin added 1.2%.
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