Copper prices advanced on Friday, supported by a softer dollar and data from top consumer China.
This showed factory activity surprisingly expanded in November, 2023, according to the Absa bank Zambia daily market report.
A softer dollar made greenback-priced metals cheaper to holders of other currencies.
The bank indicated that three-month copper on the London Metal Exchange (LME) rose 0.4 percent to US$8,499 per metric tonne, while the most-traded January copper contract on the Shanghai Futures Exchange advanced 0.4 percent to 68,450 yuan (US$9,592.88) a tonne.
“The dollar eased as traders weighed data that showed inflation was easing, stoking expectations that interest rates had peaked and central banks would soon start cutting rates,” the bank stated.
Meanwhile, Access bank reported that oil prices extended losses on Friday and looked set for a sixth straight week of declines, as voluntary oil output cuts agreed by OPEC+ producers fell short of market expectations.
It also indicated that brent crude futures for February fell 39 cents, or 0.5 percent, to US$80.47 a barrel while United States West Texas Intermediate crude futures fell 23 cents, or 0.3 percent, to US$75.73.
Gold prices were set to mark a third straight weekly rise on Friday, after data showing cooling inflation cemented bets for a rate cut in the United States, with traders looking forward to comments from Federal Reserve’s Chair Powell later in the day.
Spot gold rose 0.2 percent at US$2,039.42 per ounce, after marking an over US$60 rise in November – its second straight monthly rise.
United States gold futures for February delivery rose 0.1 percent to US$2,059.00.
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