Base metals prices rose on Tuesday, buoyed by renewed hopes for economic growth in China. Optimism surrounding the world’s second-largest economy fueled expectations of increased demand for industrial metals.
Copper, aluminum, and zinc all saw gains as investors reacted to positive economic indicators and policy signals from China. The prospect of increased infrastructure spending and manufacturing activity in China is a key driver of demand for these metals.
Analysts noted that while global economic uncertainty remains, the outlook for China’s growth is a significant factor supporting base metals prices. However, some cautioned that the gains could be limited by concerns about oversupply in certain markets.
Here’s a summary of the day’s trading:
- Copper: Increased by 1.2%
- Aluminum: Rose by 0.8%
- Zinc: Gained 1.5%
Market participants will continue to monitor economic data and policy developments in China for further indications of future demand trends.