After rising for 11 consecutive trading days, copper prices are stronger in the early hours on November 9. At 5:30 AM EST on November 9, the COMEX copper futures contract for December delivery was trading at $2.44 per pound—a rise of 2.7%.
Copper reached the highest level since September 2015
Copper prices reached the highest level since September 2015 by carrying forward the 11-day rising streak. Donald Trump’s surprise victory in the US presidential election made the US dollar fall and supported copper prices. The weaker US dollar supports the prices of dollar-denominated commodities such as copper, gold, and silver. Improved demand signals from China also supported the prices. Considering that China is the largest copper consumer, China’s major economic releases influence copper’s demand and price trends globally. The recently released Caixin manufacturing data rose to the highest level in more than four years. The manufacturing output is the highest in five and half years. There’s also improved sentiment in the copper market. On November 8, major copper producers Freeport-McMoRan (FCX), Glencore (GLNCY), BHP Billiton (BHP), and Rio Tinto (RIO) rose 7.1%, 1.2%, 3.2%, and 1.3%, respectively. The SPDR S&P Metals & Mining ETF (XME) and the PowerShares DB Base Metals (DBB) rose 1.3% and 0.96%.
Gold and silver rose in the early hours on November 9. At 5:35 AM EST on November 9, thefutures contract for December delivery rose ~2.2% to $1,302.15 per ounce. The silver futures contract for December delivery was trading at $18.69 per ounce—a gain of ~1.9%. Trump’s surprise win in the US presidential election weighed on the dollar and supported precious metal prices. On November 8, precious metal producers Barrick Gold (ABX), Newmont Mining (NEM), and Royal Gold (RGLD) fell 1.2%, 1.2%, and 0.72%, respectively, while Silver Wheaton (SLW) rose 0.94%. The SPDR Gold Trust ETF (GLD) fell 0.42% source: marketrealist