london<u+2014>copper prices hit a 17-month high on thursday morning in london as bullish expectations for manufacturing spending outweighed the dollar hitting multiyear highs. the three-month london metal exchange copper contract was up 1.27% at $5,842 a metric ton in midmorning trade in europe, the highest price since mid-june 2015. on wednesday, the metal closed at a 16-month high in new york trading after u.s. durable goods data showed a 4.8% jump, the highest in a year, stoking further expectations of higher demand for the metal. american markets will be closed on thursday for thanksgiving. on thursday, the wsj dollar index, which weighs the dollar against a basket of other currencies, was up 0.07%, building on a 14-year high on wednesday. a stronger dollar is typically bearish for dollar-denominated commodities, because it makes them more expensive for buyers who hold other currencies. but copper<u+2019>s rally<u+2014>which began before the u.s. presidential election on the back of signs of strengthening chinese demand and then picked up further momentum following donald trump <u+2019>s win<u+2014>has so far shaken off the strong dollar. <u+201c>these are unprecedented moves,<u+201d> said matt france, head of institutional sales for asia at brokerage marex spectron. <u+201c>global money managers are starting to put dr. copper back on their trading screens,<u+201d> he said, stoking further bullish momentum. that appetite for the metal could extend into the new year, mr. france added. other analysts were more skeptical that the pace of the rally could be sustained. <u+201c>i think the danger is [copper] has run ahead of itself,<u+201d> said william adams, head of research at fastmarkets in london, who added that copper would likely see profit-taking ahead of the weekend. the metal is also in the midst of a <u+201c>catch up<u+201d> rally, mr. adams said. for most of the year, copper lagged behind the double-digit year-to-date gains in the other base metals. copper is now up roughly 25% so far in 2016, surpassing aluminum and clocking roughly the same gains as lead, but the red metal is still trailing the sharp gains in the other base metals, particularly nickel and tin. the other base metals were mixed on thursday afternoon. aluminum was down 0.51% at $1,770 per ton, lead was up 0.07% at $2,239 per ton, zinc was down 0.24% at $2,699.50 a ton, nickel was down 0.13% at $11,615 a ton, and tin was flat at $21,285 a ton. write to katherine dunn at katherine.dunn@wsj.com
copper rises further on manufacturing spending hopes - wsj
katherine dunn