Amid a rally in commodities, Copper’s benchmark contract on the London Metal Exchange (LME) rises for the third consecutive day while adding 0.50% intraday around $8,440, to probe the May 2012 peak.
Reuters mentions optimism about a global economic recovery and expectedly tight supply as the extra fuel behind the run-up.
Lunar New Year holidays in China seems to restrict the metal’s supplies while risk-on mood and the US dollar weakness, mainly due to the covid vaccine and US stimulus optimism, coupled spotted as the demand-favoring catalysts.
That said, the US dollar index (DXY) recently refreshed the monthly low with 90.22 figures, currently down 0.04% at 90.32.
Considering copper’s importance for Australia, a jump in the metal’s quote helps AUD/USD stay near the monthly high despite the recent pullback.