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METALS-Copper rises on support for stock market and hopes for more stimulus
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METALS-Copper rises on support for stock market and hopes for more stimulus
Oct 17, 2024 11:36 PM

(Recasts, updates prices, adds details)

By Mai Nguyen

Oct 18 (Reuters) - Copper prices rose on Friday, buoyed

by China's measures to boost liquidity in the stock market and

expectations of more stimulus after weak economic growth data.

Three-month copper on the London Metal Exchange rose

0.8% to $9,587 per metric ton by 0530 GMT, while the most-traded

November copper contract on the Shanghai Futures Exchange

edged up 0.1% to 76,790 yuan ($10,790.72) a ton.

"Market is moving on more policy measures details and data

released by China this morning. Q3 GDP growth slowed, hence the

pressure is on policy makers to push out more stimulus," said a

trader, noting that better-than-expected industrial output and

retail sales data also lent support.

China's economy grew at the slowest pace since early 2023 in

the third quarter and its property sector continued to show

sharp weakness, while consumption and industrial output figures

for September beat forecasts.

China's central bank kicked off two funding schemes that

will initially pump as much as 800 billion yuan into the stock

market, boosting Chinese equities.

The central bank governor also flagged potential interest

rate cuts by year-end.

Measures aimed at increasing liquidity in the capital market

are also bullish for metals, the trader said.

LME aluminium rose 0.5% to $2,567 a ton, tin

climbed 0.8% to $31,480, while zinc edged up 0.2% to

$3,059, nickel was nearly flat at $17,010 and lead

was almost unchanged at $2,070.

SHFE aluminium fell 0.7% to 20,565 yuan a ton,

nickel dropped 2.3% to 128,620 yuan, lead

edged down 0.2% to 16,695 yuan, tin dropped 2.4% to

256,600 yuan, tracking overnight losses in London. Zinc

rose 0.1% to 25,030 yuan.

Most base metals were set for a weekly loss as traders and

investors were disappointed this week over a lack of substantial

Chinese stimulus measures.

For the top stories in metals and other news, click

or

($1 = 7.1163 Chinese yuan)

(Reporting by Mai Nguyen in Hanoi; Editing by Sumana Nandy and

Subhranshu Sahu)

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