(Updates prices)
By Polina Devitt
LONDON, April 26 (Reuters) - Copper prices in London
rose on Wednesday as support from a weaker dollar helped to halt
a five-session run of declines.
Benchmark LME copper was up 0.3% at $8,553 a tonne
by 1617 GMT.
The metal, which is used in electrical wiring and seen as
key to the global energy transition, fell to its lowest level in
six weeks on Tuesday, testing robust support near $8,500 a
tonne, on weak demand from leading metals consumer China.
"Copper looks set to benefit from increased green
transformation demand in the coming years. However, there is
still slower-than-expected recovery in Chinese demand during a
time that is meant to be the busiest construction period of the
year," Saxo Bank strategist Ole Hansen said.
Concern is also mounting over global economic growth after a
plunge in U.S. consumer confidence, he added.
China's cabinet on Tuesday issued a plan to stabilise its
trade sector as subdued global demand threatens its exports
outlook.
On-warrant copper stocks in LME-registered warehouses rose
by 2,750 tonnes to 59,775 tonnes on Wednesday to reach their
highest level since Jan. 13. Making dollar-denominated metals more attractive to buyers
holding other currencies, the dollar retreated on further signs
of a U.S. economic slowdown after orders for core capital goods
slipped more than expected in March. LME aluminium was stable at $2,336 a tonne after an
inflow of metal into LME-registered warehouses .
Zinc jumped 2.1% to $2,653.5, lead gained 0.4%
to $2,114, and nickel added 1.1% to $23,590 despite the
market surplus that the International Nickel Study Group expects
to widen this year.
Tin rose 1.2% to $25,885 a tonne. That metal has
been recently supported by plans by Myanmar's Wa militia to
suspend mining in areas it controls, but a market surplus and
high inventories are capping gains.
(Reporting by Polina Devitt; additional reporting by Neha
Arora; editing by David Goodman and Paul Simao)
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