Copper prices have posted a new weekly high, as many traders felt that the market found considerable support yesterday morning in the wake of positively received comments from the Chinese Premier. The copper market might also be finding a minor amount of support from some fresh physical buying interest in China, and from ideas that the Chinese central bank could take fresh easing action to stimulate their economy over the near term.
Many Chinese copper users have expressed their concern about their capacity to get supplies in the face of recent projections of a world copper deficit, as well as from limiting Chinese copper import regulations. There are some traders who feel that the primary supportive factor for copper this morning appears to be the positive flow of sentiment from the Euro zone. It is also possible that a developing pattern of daily declines in LME copper stocks is providing copper prices with residual strength as well.