HANOI — London aluminum prices rose on Tuesday over concerns that a commitment to reduce pollution by top producer China could limit the energy-intensive metal’s supply.
Three-month copper on the London Metal Exchange rose 1.5% to $2,433.50 a tonne by 0647 GMT, copper advanced 0.8% to $9,900 a tonne, zinc was up 0.5% at $2,941 a tonne, while nickel increased 0.7% to $17,795 a tonne.
“We expect aluminum to remain supported in the short term amid concerns climate change policies in China will curb output,” said ANZ analysts in a note.
“Coal-fired power is used by more than 80% of China’s aluminum smelters. Pollution-reduction policies are likely to push many of them to hook up to the grid, thereby increasing their costs,” they added.
* The premium of cash aluminum over the three-month contract on the LME
* U.S. aluminum premium climbed to its highest since October 2013 at $573.202 a tonne, while European premium of the metal hit a record high of $195 a tonne.
* The global copper market should see a surplus of 79,000 tonnes this year and of 109,000 tonnes in 2022, the International Copper Study Group said on Monday.
* Top copper producer Chile saw output of the red metal fall for the 10th consecutive month in March, official data showed, marking a modest but continual slide in production that began shortly after the COVID-19 pandemic struck the country.
* Indonesian state miner Aneka Tambang (Antam) said on Monday its nickel ore output rose more than four-fold in the first three months of 2021 compared to the same period a year ago.
* The Shanghai Futures Exchange is closed for a public holiday.
* For the top stories in metals and other news, click or (Reporting by Mai Nguyen; Editing by Rashmi Aich and Vinay Dwivedi)