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METALS-Copper extends gains on Chile supply worries, softer dollar
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METALS-Copper extends gains on Chile supply worries, softer dollar
Aug 4, 2025 9:23 PM

(Updates prices for Asia midday session)

By Brijesh Patel

Aug 5 (Reuters) -

Copper prices rose on Tuesday, supported by a weaker U.S.

dollar and supply concerns after the collapse of a mine in top

producer Chile.

Three-month copper on the London Metal Exchange

advanced for the third straight session, up 0.2% at $9,709.50

per metric ton, as of 0315 GMT.

The most-traded copper contract on the Shanghai Futures

Exchange gained 0.4% to 78,490 yuan ($10,930.38) a ton.

Chilean miner Codelco said on Monday that underground

operations at its El Teniente copper mine remained suspended,

after an earthquake triggered a collapse that killed six people

last week.

Codelco is the world's biggest copper miner, while Chile

supplies about a quarter of the world's red metal.

"The Codelco El Teniente copper mine stoppage, a weaker

dollar after last week's U.S. jobs data and risk-on sentiment

are helping copper prices," a Singapore-based metals trader

said.

"The debasement of the dollar is likely to continue, so

holding hard assets in metals as a store of purchasing power

could be gaining traction."

The dollar index fell for a third straight session

after a soft U.S. jobs report last week.

A weaker dollar makes greenback-denominated assets more

affordable to holders of other currencies.

Risk appetite has risen globally after the jobs report

raised bets that the Federal Reserve may cut rates soon to

support the economy.

Copper, used in power and construction, is seen as a gauge

for the health of the global economy.

Among other metals in London, aluminium climbed 0.7%

to $2,569.50 a ton, nickel rose 0.3% to $15,100, lead

was up 0.1% at $1,960.50, tin gained 0.4% to

$33,265, and zinc rose 0.4% to $2,760.50.

SHFE aluminium was up 0.3% at 20,520 yuan, nickel

climbed 0.8% to 120,850 yuan, lead slipped

0.5% to 16,690 yuan, tin rose 0.5% to 267,380 yuan, and

zinc gained 0.6% to 22,330 yuan.

For the top stories in metals and other news, click

or [MET/L}

($1 = 7.1780 Chinese yuan)

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