Copper prices surged to 13-week highs on 15 March 2007 after the metal broke key resistance on both sides of the Atlantic, triggering a rash of technical and bullish buying.
Benchmark copper for May delivery on New York Mercantile Exchange’s COMEX division ended up $16.20 (Rs 716), or 5.7% , at $2.9880 an ounce. It rallied after breaching the $2.90 psychological mark to touch an intraday peak of $2.9930 — its highest since 19 December 2006.
Three-months copper on the London Metal Exchange also ended up around 5%, settling at $6,530 a tonne. It broke resistance at $6,400 to go up to $6,545, a level not attempted since 21 December.
Other base metals that performed strongly on the LME were nickel, which hit a record peak of $47,890 a tonne, and zinc, which surged 5% to $3,220 a tonne.
“Metals held their ground over the past days, but the funds coming in has driven the prices up aggressively today,” a trader on the LME floor said.
Analysts said the run-up in metals was helped partly by improving investor confidence in stock markets, which recovered from a battering earlier this week.
Copper particularly benefited from increasing demand from China and declining inventories on the LME, traders said.