(Updates with details and mid-session trading)
March 3(Reuters) - London copper rose on Monday,
supported by a weaker dollar and strong economic data from top
metals consumer China.
Three-month copper on the London Metal Exchange (LME)
gained 0.5% to $9,402.5 a metric ton by 0435 GMT.
The dollar index eased 0.4% from a two-week high hit
in the previous session.
A weaker dollar makes greenback-priced commodities cheaper
for buyers holding other currencies.
China's manufacturing activity expanded at the fastest pace
in three months in February as new orders and higher purchase
volumes led to a solid rise in production, an official factory
survey showed on Saturday.
China's economic health is crucial for base metals demand
because the country is the world's largest consumer and relies
heavily on these metals for its vast manufacturing sector.
U.S. President Donald Trump sowed confusion last week when
he mentioned a possible April 2 deadline in connection with
tariffs on Canada and Mexico, but later reaffirmed the Tuesday
deadline.
He said he would add another 10% tariff on Chinese goods on
Tuesday, effectively doubling 10% duties imposed on February 4.
"I think the markets are responding to further rhetoric
about U.S. tariffs on base metals and the hope that China's NPC
might yield further economic stimulus," said Kyle Rodda, senior
financial markets analyst at Capital.com.
China's National People's Congress (NPC), scheduled to meet
on March 5, is expected to unveil more stimulus, given the
looming tariff war and concerns about slow demand.
LME aluminium was up 0.5% at $2,619 a ton, zinc
gained 1.5% to $2,834, nickel rose 1.7% to
$15,700, tin firmed 0.5% to $31,455 and lead
rose 0.2% to $1,996.
SHFE aluminium rose 0.2% to 20,695 yuan
($2,840.14)a ton, SHFE copper firmed 0.2% to 77,170
yuan, zinc climbed 1.1% to 23,755 yuan, nickel
eased 0.1% to 126,980 yuan, lead gained 0.6% to 17,265
yuan and tin rose 0.3% to 255,900 yuan.
($1 = 7.2866 Chinese yuan)