London copper, aluminum rise as dollar eases in holiday-thinned trade

MELBOURNE — London copper and aluminum climbed on Monday as the dollar eased from threemonth highs and trade stayed quiet given a holiday in China and ahead of a slew of monthly manufacturing reports from the world’s top user of metals.

FUNDAMENTALS: London Metal Exchange ( LME) copper edged up by 0.40% to $6,827 a ton by 0022 GMT, following a 2.4% loss in the previous session.

The Shanghai Futures Exchange is closed on Monday and Tuesday for a holiday.

ALUMINUM: Aluminum also edged up by 0.30%, having posted its biggest weekly drop on Friday since 2008 at 10.6%. That pared April’s gain to 11.3% as ructions continue over supply from the world’s second-biggest aluminum maker Rusal following US sanctions.

BAUXITE: Guinea’s government said on Friday it had approved plans to award a mining contract to a Netherlands-based company to develop a $1.4-billion bauxite mine.

COPPER: Chile’s Escondida, the world’s largest copper mine, said on Thursday early contract talks with its workers’ union ended without an agreement, setting the stage for legally scheduled negotiations to begin in June.

RUSAL: Russian metals giant Rusal will overhaul its board and management in hopes of persuading the US to lift sanctions but it may be forced to halt aluminum exports for good if the plan fails, sources close to the company said.

COPPER: Hedge funds and money managers raised a net long position in copper futures and options in the week to April 24, US Commodity Futures Trading Commission data showed on Friday.

Glencore’s mining subsidiaries in the Democratic Republic of Congo have been served freezing orders for alleged unpaid royalties of nearly $3 billion by a company affiliated with Israeli billionaire Dan Gertler, Glencore said on Friday. —